All systems go: Vmoto signs key European sales deal with a leading ride-share platform
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Special Report: The sales agreement for another 2,000 scooter units firmly establishes Vmoto’s commercial partnership with major European ride-sharing platform GO Sharing.
As a leading manufacturer of electric scooters, ASX-listed Vmoto (ASX:VMT) is well-placed to capitalise on the momentum in global EV demand.
But while positive market trends are one thing, the company is also demonstrating skilled execution in terms of the operational steps required to achieve its strategic vision.
A key part of that strategy is a concerted push into the huge European market, which combines strong demand for scooter transport in many cities backed by progressive government policy.
This morning, Vmoto announced a key development in connection with one of its key distribution partners, GO Sharing – a market leader in ride-sharing services across Europe.
The Netherlands-based company confirmed a purchase order of 2,000 electric scooter units from Vmoto, for use as part of its ride-sharing network.
The order has been commissioned for delivery by March 2020.
For Vmoto managing director Charles Chen, the deal marks another important step to drive its business-to-business (B2B) strategy forward, in addition to consumer-direct channels.
Calling it an “important and strategic growth area, Chen added that “increasing demand from ride sharing companies such as GO Sharing assists us in progressing positively on executing on our international B2B strategy”.
For GO Sharing, the rapid expansion of its ride-sharing fleet forms part of the companies plan to expand its operations beyond Holland and Belgium over the next 12-24 months.
The company is an offshoot of Greenmo Rent BV, a long-term market leader in vehicle rentals which in turn is backed by Rabobank, one of the largest banks in the Netherlands.
The agreement to purchase another 2,000 units is proof of an established commercial relationship between the two parties, after GO Sharing made a provisional order of 670 units in the second half of 2019.
As part of today’s announcement, Chen also took the opportunity to advise investors that its Chinese manufacturing operations have not been affected by complications stemming from the coronavirus outbreak in the city of Wuhan.
Location-wise, Vmoto’s manufacturing hub is located more than 650km from the city of Wuhan, and all production and delivery plans are “progressing as expected”, Chen said.