Bird exits Germany, Sweden, Norway and “several dozen” US, EMEA markets • TechCrunch
Bird’s joint mini-mobility company is exiting many markets around the world as it struggles to build an economically viable business, according to regulations. deposit.
Bird said it would “completely exit Germany, Sweden and Norway, as well as ending operations in “dozens of additional, primarily small to mid-sized markets” across the United States, Europe, the Middle East and Africa, according to the company. Bird will not respond to requests for more information. From TechCrunch, so it’s not clear which cities Bird will come out with.However, the only bird market in the Middle East is Israel, and Bird doesn’t appear to be in any African country.
Downsizing comes after a few months Bird laid off 23% of its employees In an effort to become more financially sustainable and achieve profitability. More importantly, Bird really needs to raise its share price before it can be taken down by the New York Stock Exchange. in June, Bird received a warning from the New York Stock Exchange To trade at a very low price. The company has been given six months to return to compliance, which means maintaining an average share price of at least $1 during 30 consecutive trading days and a share value above $1 on the last trading day of that month. At the time, Bird was trading at $0.56. Today, Bird is trading at $0.37 after hours, which, to be fair, is up 1.01%.
in Blog postByrd blamed many of the obstacles on the path to profitability on cities that lack a “strong regulatory framework”. The company said it reviewed its portfolio of cities to weed out those without such a framework — cities with a lot of competition, an oversupply of vehicles and crowded streets.
“In the short term, current macroeconomic conditions have created an environment that requires us to increase our level of fiscal discipline and to clearly distinguish between markets in which we see a near-term path to fully self-sustaining operations, and those that appear to be longer-term and riskier investments,” Bird wrote.
It’s not clear what this will mean for Byrd’s army of fleet managers who will be affected by the change, and Byrd did not respond in time to TechCrunch’s request for comment.
Bird’s fleet managers are primarily fee-paying contractors up front to manage Bird’s motorbike fleets. They mainly pay to rent Bird’s scooters so they can deploy them and earn income, but they are responsible for maintenance, storage, and maintaining adequate insurance coverage. program was Criticize To lure inexperienced contract workers into debt on scooters they would never own.