Bicycle company behind Batavus and Sparta faces bankruptcy

Accell, the Dutch bicycle group behind brands such as Batavus, Sparta, Koga, and Babboe, has been granted a stay of payment, which is often a precursor to bankruptcy. Acquisition talks with a Singaporean investment firm fell through.

Financial headwinds

Since undergoing financial restructuring in February, Accell had been controlled by a group of creditors—a solution that was not intended to be a long-term arrangement. The company was therefore seeking a buyer. Talks with Singapore-based investment firm Dutech—which had previously made acquisitions in Germany and Poland—seemed to be leading to a deal and had received the approval of European competition authorities, but ultimately fell through. As a result, Accell had no choice but to file for a stay of payment.

The company has been struggling with financial headwinds for some time. The COVID-19 pandemic led to a surge in orders, but after demand fell off, large inventories of bicycles remained unsold. On top of that came a costly recall of Babboe cargo bikes. A year ago, Batavus closed its factory in Heerenveen—one of the oldest bicycle factories in the Netherlands—to relocate assembly to Hungary.