Electric scooter manufacturer Govecs will be going public at the Frankfurt Stock Exchange this autumn. The company plans to invest the additional money from investors in production capacities, product line-up and distribution networks.
Govecs is particularly aiming at the B2B market, where they intend to focus on vehicle sharing models and “optimal” use of the supply industry. Furthermore, the company also wants to expand their business with private customers.
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The electric scooter manufacturer noted that the scooter sharing market in Europe was still in it’s early stages; “Increased urbanisation, stricter CO2 standards, increased environmental awareness of consumers and the trend towards e-mobility are an important tailwind for growth of the e-scooter market in Europe, which is still in its infancy.” According to their research, Govecs expects the market for electric scooters to proceed at an annual 25% growth up to 2026.
There are currently about 10,000 Govecs scooters helping to take pressure off city roads across Europe. Three of the four largest e-scooter sharing services in Europe also used Govecs scooters in their fleets. The market share for Govecs stands at 40% globally, and 60% in Europe.
In 2017, Govecs managed to more than double their profits, to around 15 million euros. On the basis of the current business development and the filled commission books, it is expected that they will complete the current year with a profit of 24 to 28 million euros. The stock market entry will serve the company to further expand and accelerate their growth.
Currently, Govecs is manufacturing in their factory in Breslau, Poland, with an annual capacity of 15,000 electric scooters. Part of the incoming funding will be used to expand the capacities for this factory.
Update September, 17: Govecs has specified the price per share and expects to sell at 10 – 12 euros each. The offering starts on September, 18 and will end on September, 27.