The bicycle industry remains in a prolonged crisis. Following the surge in demand during the pandemic, many manufacturers are still struggling with declining sales figures, high costs and structural problems. The situation is particularly difficult for young companies whose business models were heavily focused on growth and regular financing rounds.
The VanMoof case showed how quickly things can become critical. The company had to file for bankruptcy in the summer of 2023, but was later taken over by new owners and returned to the market after a radical reorientation. We have examined the background to this in detail in this article.
A similar scenario is now emerging at Belgian e-bike manufacturer Cowboy, which is best known for its connected, software-driven urban bikes.
Takeover announced – but not yet completed
In September 2025, Cowboy announced that the company was to be taken over by the French Rebirth Group. The announcement was initially interpreted as a rescue. However, it has since become clear that the deal has not yet been finalised – and the terms of the planned restructuring are causing considerable unrest.
The restructuring plan drawn up by Rebirth envisages that the existing shareholdings will be almost completely devalued. The existing shares are to be converted into low-value securities without voting rights, which will only have symbolic value. In economic terms, Cowboy would thus effectively be restarting from scratch – with a valuation of zero euros.
Private supporters hit particularly hard
This move hits hardest the many private investors who have financed Cowboy through crowdfunding in recent years. Numerous supporters participated in the most recent campaign in autumn 2024 alone. A total of around 10 million euros flowed into the company over five crowdfunding rounds.
Despite this commitment, these investors collectively hold only about five per cent of the company’s shares. Significantly larger stakes are held by international venture capitalists such as Index Ventures and the investment company Exor, which have invested a combined total of more than 134 million euros since Cowboy entered the market in 2017. These major investors would also have to accept considerable write-downs as part of the restructuring.
Massive losses as the main reason
Rebirth Group’s tough stance is based on Cowboy’s economic situation. The 2024 annual report shows that revenue fell by around 30 per cent to 21.7 million euros. At the same time, the annual deficit increased to 21.2 million euros – meaning that the loss was almost equal to the revenue.
Since the company was founded, the deficits have amounted to more than 123 million euros. At the same time, the level of debt has grown to around 56 million euros. From the perspective of potential buyers, the existing company is hardly viable under these conditions.
Hope through industry expertise
Despite the gloomy figures, there is also a ray of hope. With the Rebirth Group, an investor is coming on board that has many years of experience in the bicycle and mobility business and brings together several established brands under one roof. In future, synergies in purchasing, production and sales in particular are to be exploited.
A key component of the new strategy is moving away from direct sales alone. In future, Cowboy bikes will be sold more through traditional specialist retailers in order to reach new customer groups. Rebirth also plans to leverage Cowboy’s software and technology expertise for other brands within the group.
Perspective
Cowboy is a prime example of the situation facing many e-bike start-ups: innovative products, strong brand – but a business model that has so far been unable to withstand the realities of the market. Whether the restructuring under the umbrella of the Rebirth Group will bring the urgently needed fresh start remains to be seen. One thing is certain, however: for investors, especially the many crowdfunders, this step marks a bitter turning point. And for the industry, it is another warning sign.
