Onto declares insolvency

Despite a successful investment round in January, and expansion plans, UK electric car subscription service Onto is now facing insolvency.

Onto is now in administration, despite raising large investments in January this year. The company raised £100 million (nearly €114 million) from global investment group CDPQ and asset manager Pollen Street to expand its UK fleet. There was even talk of expanding to other regions.

Onto says it has “faced challenging market conditions due to the recent steep fall in the price of used electric vehicles, rising interest rates and the squeeze on disposable income.”

Onto says the administrators now “manage the business and affairs as agents of the Company and certain subsidiaries.” Onto says it will continue to serve existing customers as the administrators “explore strategic options to support the business going forward.”

For the moment, Onto says their customers can continue to renew their hire agreements in line with existing terms and conditions.

fleetnews.co.uk, on.to