Today CAKE, the Swedish manufacturer of lightweight electric performance motorcycles, scooters, and mopeds, has announced raising approx. €51.3 million, comprised of convertible notes of €11.9 million and a €39.3 million financing round. The financing round was anchored by Swedish pension fund AMF, investing alongside a handful of new investors and with strong support from current shareholders, including Creandum and Headline.
Stefan Ytterborn, Founder and CEO of CAKE, explained: “We are in the process of implementing initiatives to scale the business, structuring and laying the base for rapid growth. Aside from new product platforms, like the new and compact Makka expanding the user base, within B2C as well as B2B, CAKE is setting up manufacturing facilities in Europe, North America and Asia for sustainability and efficiency reasons, as we speak. Furthermore, CAKE Sites including showrooms, retail and service will start popping up in major cities, starting this fall. We knew we were entering a space with increasingly strong tailwinds when we got started back in 2016, but we couldn’t dream of the pace in which things are now happening, for the good of people, planet and business.”
CAKE has had a flying global start since it was introduced in 2018, with series production bikes in the market from the spring of 2019. With the focus on establishing a new category of light, quiet and clean electric motorcycles, with performance and durability being the main objectives, the company continues to lead towards extended life cycles, efficiency and sustainable initiatives.
“All of us working with Cake are proud of the development of the company. We are also happy to welcome our new and important investors. Together we can take a leap in developing the future for clean mobility,” said Conny Carlsson, board member at CAKE.
Patricia Hedelius, Portfolio Manager at AMF, spoke about the new funding: “We appreciate the opportunity to invest in one of Sweden’s most interesting companies within the field of electrification at this rather early stage. CAKE’s drive and go-ahead spirit is impressive, as is the ambitious plan to grow the company and offer sustainable transportation. The products can be important in the transition to a more sustainable society, and CAKE’s innovative design and solid custom focus has contributed to a strong market interest.”
Staffan Helgesson, General Partner at Creandum Advisor, continued: “Cake’s obsession with creating a superior user experience has been ingrained in the company’s DNA from day one and is something we can fully identify with. We are very happy to continue to support the team for the long term in their ambition to become the category leader in the premium two wheeler electric vehicle segment.”