In a surprising turn of events, a Florida entrepreneur has taken a bold step to preserve the future of Cake electric motorbikes by acquiring the remaining U.S. inventory. Michael Joyce, the owner of St. Petersburg’s Emoto, has not only secured the bikes but also collaborated with Detroit-based startup Bloom for warehousing and nationwide distribution.
Cake, the Swedish electric motorbike startup, filed for bankruptcy in February after unsuccessful attempts to secure Series C funding. Despite reaching out to major players like Harley-Davidson, the company faced financial challenges, leaving its future hanging in the balance.
Joyce’s strategic move aims to keep the Cake brand alive, especially considering that Emoto exclusively sells Cake products. By purchasing the Makka and Ösa motorbikes, along with accessories and spare parts, Joyce hopes to instill confidence in consumers and navigate the brand through its challenging times.
However, not all Cake electric motorcycles were included in the purchase, as the Kalk model faced recalls due to battery fire risk and steering column issues. Joyce expressed optimism about the venture, stating that he has “six to 12” months of runway to negotiate with other companies and expand his electric motorbike offerings.
The collaboration with Bloom, a Detroit startup founded by the minds behind e-bike brands Propel and Vela, reflects the adaptability of the electric vehicle industry. Bloom provides essential services such as contract manufacturing, delivery, and logistics to support startups facing challenges in these areas.
While the Cake inventory is en route from Los Angeles to Bloom’s Detroit warehouse, the partnership between Joyce and Bloom signals a potential shift in the industry’s business model. Both parties envision Emoto evolving into a comprehensive showroom for electric motorbikes, akin to established powersports dealers in the country.
As Cake explores restructuring options, Joyce expressed interest in continuing the partnership with the revamped version of the company, should it emerge from bankruptcy. The evolving landscape of electric vehicles and strategic partnerships like these may pave the way for a more resilient and collaborative future in the industry.
