Hudson Parent Prout Requests Insolvency
DARMSTADT, Germany – First Dutch e-Bike distributor Brittijn, then Hudson Bike and now Prout AG. On March 20 German Prout AG, public-held parent company of e-Bike maker Hudson Bike GmbH, had to ask for
DARMSTADT, Germany – First Dutch e-Bike distributor Brittijn, then Hudson Bike and now Prout AG. On March 20 German Prout AG, public-held parent company of e-Bike maker Hudson Bike GmbH, had to ask for insolvency.
Temporary receiver is lawyer Olaf Sührer from Prout AG’s home city Darmstadt. Prout AG owned 100% of Hudson Bike that went bankrupt on 12 March. According to a press release Prout AG’s insolvency is rooted in the serious financial difficulties at Hudson Bike based in Nuerenberg.
Insufficient deliveries of e-bikes
After the insolvency of Dutch e-bike distributor Brittijn in late January 2008, 49% owned by Hudson Bike, the e-bike and Saxonette manufacturer found itself in financial difficulties. It’s said that Brittijn went into bankruptcy because of insufficient deliveries of e-bikes and Saxonettes manufactured by E-bike, owned by Hudson Bike and which was integrated fully into its operations in summer 2007. E-bike GmbH is the former X-act GmbH, which used to manufacture bikes for Sachs FMT.
Hudson Bike GmbH, Nürnber, Germany, applied on March 12 for insolvency procedures to begin. The Court of Nürnberg (Amtsgericht) appointed lawyer Dr. Hubert Ampferl, Nürnberg, as the receiver. Dr. Ampfert has started the provisional insolvency administration (suspension of payments). After investigating the business situation the receiver will decide if the insolvency will proceed. Hudson Bike is 100%-owned by Prout AG, which is quoted on the Frankfurt stock market.
Rapidly accumulating losses
Hudson Bike was founded in October 2006 by investment companies Prout AG (70%) and Blue AG (30%); both listed on the Frankfurt stock market. Blue Cap AG pulled its 30% stake at the beginning of 2008, leaving Hudson Bike 100% in the hand of Prout AG. Due to the losses through Brittijn BV bankruptcy and because of lower sales for the second half of the fiscal year 2007/08, losses accumulated rapidly at Hudson Bike.
The low turnover was attributed to long lead times for components from Asia. Prout AG´s shares had dropped to around € 0.40 as for 7/2/08 and were trading at around € 0.08 as of 18/3/08.
On March 14 Brittijn announced that it will re-start as Brittijn Import BV. The company will return to Sachs-Bikes with selling the Saxonette, ALU-Touring and ALU-Electra bikes in Holland as well as 50cc scooters which Sachs Bikes have made in China.