The Swedish manufacturer Cake, which exclusively produces electric off-road motorcycles, has declared bankruptcy. The Swedish media outlet DiGITAL reported the news last Thursday, although there has been no official communication from Cake itself regarding the filing.
According to Electrek, Cake’s bankruptcy filing comes after reports of salary payment suspensions in January and the filing was forced when one of its main investors withdrew from the company during a recent financing round.
Cake had recently started delivering its latest model, the Bukk, and had issued a press release at the end of January outlining its plans to expand its presence in Europe.
Cake’s CEO, Stefan Ytterborn, was quoted by Swedish media stating that there were several reasons for Cake’s current situation. He said, “It wasn’t just one, but several circumstances that led us to this situation. Climate issues are no longer in focus, we are in a recession. It’s about us, but also about the venture capital ecosystem. Right now, it’s completely dead, there are no buyers in the later stage where Cake is positioned.”
Founded in 2016, Cake has become a recognized figure in the world of electric motorcycles, building distinct and minimalist bikes, all with a functional aesthetic and peculiar names like “Kalk” or the aforementioned “Bukk,” derived from an ancient language rooted on the island of Gotland, located in the Baltic Sea between Sweden and the Baltic countries of Estonia, Lithuania, and Latvia.
