Ebusco, a Dutch manufacturer specializing in zero-emission buses, is undergoing significant restructuring as part of its Turnaround Plan. The company announced measures that include reducing its workforce by 102 Full-Time Equivalents (FTEs), amounting to nearly 16.5% of its global staff. These adjustments are intended to improve financial performance while expediting its shift to an Original Equipment Designer (OED) model. The changes are set to impact employees primarily in production, warehousing, and facility departments, with a social plan in place to support affected workers. The decision aims to streamline operations and refocus on core strengths such as sales, design, and engineering.
What financial efforts have been made?
Ebusco recently raised €36 million via a Rights Issue to stabilize its financial outlook. After deducting costs, the company secured approximately €27.7 million in cash proceeds. CEO Christian Schreyer noted the critical importance of this funding, stating,
“This capital raise is essential for the continuation of the company and I’m pleased to get the chance to move forward and further restore the company.”
Additionally, a portion of the funds was allocated to settle debts with battery supplier Gotion, amounting to €1.8 million. Ebusco plans to issue additional shares to Gotion, subject to shareholder approval at an Extraordinary General Meeting (EGM) in Q1 2025, to address the remaining balance.
How is the leadership structure changing?
As part of its Turnaround Plan, Ebusco is also simplifying its leadership structure. The Executive Committee will be dissolved, with operations directly overseen by a streamlined Management Board. COO Roald Dogge will retire, and Michel van Maanen, the current Transformation Director, has been nominated as the new COO. Other positions, including Chief Technology Officer (CTO), Chief Human Resources Officer (CHRO), and Chief Commercial Officer (CCO), will be eliminated. Their responsibilities will be redistributed, with CHRO duties transferred to the CEO. These adjustments are designed to create a leaner operational framework aligned with the OED model.
In previous updates, Ebusco highlighted its ambitious plans to position itself as a leading innovator in the electric vehicle ecosystem. However, its financial constraints and delays in delivering on initial promises have necessitated rapid restructuring. Earlier announcements from the company had projected a more gradual adjustment timeline, but the current approach accelerates these changes to quickly address operational inefficiencies.
Ebusco, founded in 2012, has a strong presence in major European cities like Amsterdam, Berlin, and Munich, with a focus on designing and producing zero-emission buses and related systems. The company has maintained its commitment to promoting sustainable and affordable transport solutions. However, its journey has been marked by challenges in scaling production and meeting financial expectations, prompting the current restructuring efforts.
These organizational changes highlight the company’s focus on rebuilding its financial stability and operational efficiency. By refocusing its efforts on core competencies and reducing non-essential roles, Ebusco aims to maintain its market position in the growing electric vehicle sector. The transition to the OED model reflects a strategic pivot that could enable the company to concentrate resources on high-value areas like design and engineering, which are critical for long-term success in an increasingly competitive market.
Despite its current challenges, Ebusco remains a critical player in the zero-emission transport industry. Its restructuring serves as a reminder of the difficulties associated with scaling up in the competitive electric vehicle market. For stakeholders, these measures signify a turning point as the company works toward financial stabilization and operational realignment while continuing to contribute to sustainable urban mobility.
