Financial gap: Quantron struggles for fresh money

The problems at Quantron became apparent in September when the drive system specialist did not show with its own stand at the IAA Transportation. This was despite the fact that the company had participated in the IAA pre-show press conference in the summer: A rare and therefore remarkable occurrence. Local media are now writing, citing employees, that there is uncertainty among the workforce about the situation and resentment about apparently unpaid wages. The Augsburger Journal reports that employees have filed wage claims with the labour court in Augsburg.

Quantron takes offence at some of the Journal’s reporting due to “rumoured information that is definitely not correct.” However, the company does not deny that the situation itself is delicate when asked by elective. “We are in a tense situation and are aware of it,” Quantron CFO Beate Reimann said.

Quantron emerged as a new player in the electric commercial vehicle market at the end of 2019 – launched by Gersthofen-based Iveco contract partner and commercial vehicle specialist Haller. Initially located in the retrofitting sector, the start-up quickly transformed itself into a system integrator with rapidly growing international ambitions. The management repeated more and more frequently that Quantron did not want to become an OEM, but a platform provider. The business model therefore consists less of the production and sale of electric trucks and more of the operation of an ecosystem. The activities were to be financed, among other things, by funds that Quantron wanted to raise in a B financing round. The company set a target of 100 to 200 million euros last year.

Failed financing round

This is precisely the crux of the matter: this financing round failed, whereupon Andreas Haller, the founder and CEO of Quantron AG, also took on the role of CEO at the turn of the year 2023/24. He took on the management role “with a particular focus on the successful conclusion of the B round,” as he said at the time. However, Haller currently has to take a break: According to his own statement, he suffered a serious heart attack during the IAA and is currently recovering from it.

CFO Reimann now tells the Augsburger Allgemeine in more detail about the efforts of recent years: “We had planned to realise a capital round with strategic investors in 2023, but it did not come to a positive conclusion.” One reason: the economic conditions had deteriorated. Owners and ‘friends of the company’ stepped in with loans. However, even this could not prevent a gap in the company’s financial resources that soon opened up.

There should be no lack of direct demand. Reimann spoke to the Augsburger Allgemeine newspaper of a “solid order backlog.” However, the orders would have to be pre-financed. According to the manager, Quantron is therefore sometimes forced to turn down orders as this is no longer possible. One example: the framework agreement for 500 heavy fuel cell trucks with TMP Logistics from the USA, which was landed at the end of 2022, is currently on hold. As a result, turnover is suffering. Reimann confirms the resulting outstanding debts – “also towards our employees.” Quantron currently still employs around 90 people.

Help by existing investors?

However, relief should be imminent. According to the CFO, the existing investors want to contribute a seven-figure sum. “A capital increase will take place in the next few days, with which we can also settle the outstanding debts to our employees.” The amount should be sufficient to create room for manoeuvre beyond the settlement of all outstanding debts. Reimann also holds out the prospect of a further financing round with new investors.

Quantron currently has around 200 vehicles on the market, including both battery and fuel-cell-powered vehicles. However, in the five years of its existence, the company has not managed to take the step towards full-scale series production. Despite the current difficulties, the company remains convinced of the concept of climate-neutral drives. Whether the journey of the innovator from Gersthofen continues now depends on the investors. If no fresh money flows in, insolvency is probably unavoidable.

augsburg-journal.de, augsburger-allgemeine.de (Paywall)