SUMMARY
- Bird's stock to transition from NYSE after struggling to maintain market cap.
- 2022 net loss surged to $359 million, despite a 28% increase in revenue.
- Recent acquisition: Bird purchases scooter startup Spin for $19 million.
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Bird, the electric scooter rental sensation, is about to make a slightly less glamorous move from the New York Stock Exchange to the over-the-counter exchange. Why? The company's stock took a bit of a nosedive, failing to maintain a market capitalization of $15 million over a month-long stretch.
Remember the days when hopping on an e-scooter was the cool, trendy way to commute? Well, investors did too, pushing Bird's valuation to a whopping $2.5 billion in 2019. But alas, the pandemic threw a wrench in those plans, severely hitting Bird's business.
Fast forward to 2021, after a somewhat recovery, Bird decided to spread its wings and go public, albeit through a merger. However, things haven't been rosy. By 2022, the company was posting a net loss of $359 million, even though revenues jumped 28%. The stock price? It plummeted, and a desperate reverse stock split couldn't revive it. This tumultuous journey also saw Travis VanderZanden, once hailed as the "electric-scooter king" and the brainchild behind Bird, stepping down.
But it's not all doom and gloom. Just this week, Bird scooped up another scooter startup, Spin, for a cool $19 million. And in a show of resilience, Bird's interim CEO, Michael Washinushi, stands firm. He believes the company's market cap is far from its true value and remains unwavering in Bird's commitment to stakeholders, partners, and cities worldwide.
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