E-scooter brand Pure Electric has secured a £12.5 million loan to help fund further product development and support its new business direction.
The British e-scooter brand has recently shifted its focus away from e-bikes and high street retail to focus on e-scooters and working with third-party retailers.
Founded by entrepreneur Adam Norris, father of Formula 1 driver Lando Norris, Pure Electric said the increased Asset Based Lending (ABL) facility, worth £12.5m, follows increase demand for products across the UK and Europe.
Stephen Marshall, CFO at Pure Electric, said: “Pure Electric is continuing to make a significant positive impact on the planet, and we believe e-scooters are crucial to dramatically improving the lives of people living in cities across the world. With Secure Trust Bank’s continued support in helping us grow, we’re further able to enhance the lives of riders globally.”
The ABL from Secure Trust Bank Commercial Finance, is an increase from £10m in March 2022.
Secure Trust Bank increased the flexible facility by £2.5m to support the business through the strategic change.
The support also facilitates the company’s sustainability initiatives to reduce environmental impact and encourage the public to respond to the climate crisis by choosing greener transport methods, the bank said.
Mike Piggott, head of Midlands and South West client management at Secure Trust Bank Commercial Finance, said: “We have a close relationship with the team at Pure Electric and it has been great to see the business reach new heights over the last 10 months. We have been able to create a flexible finance facility that works to Pure Electric’s needs, allowing us to increase funding as the company implements its renewed strategy.”
Founded in 2018 by Norris, Pure Electric was initially established as a high street e-bike and e-scooter retailer.
But in 2022 the brand took the decision to close a majority of its stores and instead focus on e-scooter production and sales, both through its own website and through third-party retailers, including electrical chain Currys in the UK.