E-scooter trial up for tender As Voi severs Russian links
E-scooter firm Voi has confirmed it has parted ways with its Russian shareholders after it was warned it could face losing the contract for Bristol and Bath if it did not sever ties.
The news comes as it was announced that an operator is being sought for the West of England e-scooter trial after the scheme was extended for a further two years.
The Swedish tech firm Voi, which currently operates the hire scheme across the region, confirmed the Russian investors had been removed from the business over the summer, and their shares have been sold, pending administrative confirmation expected this week.
Earlier this year, following Russia’s invasion of Ukraine, West of England metro mayor Dan Norris said he was “deeply concerned” by Voi’s connections with two Russian businessmen.
The pair - named in media reports as Ilya Yushevaev and Alexander Eliseev - are thought to have had a roughly 4% stake in Voi, acquired years before Vladimir Putin’s regime invaded Ukraine in February. According to Voi, Mr Yushevaev and Mr Eliseev have not been named on any nation’s list of ‘sanctioned’ Russian oligarchs.
After holding talks in Bristol with the firm’s boss and founder Fredrk Hjelm, Mr Norris warned he would have a “tough decision to make” if Voi had not ended its association with the Russian investors, once its current contract was up.
In a statement the Metro Mayor welcomed the latest development, which comes after the West of England Combined Authority (Weca) which he heads up - announced last week it was looking for a longterm operator of the region’s e-scooter trials.
Voi has confirmed it will be applying for the new contract.
Mr Norris said: “West of England residents told me time and again that they don’t support links with the murderous Putin and his cronies, and they wouldn’t feel comfortable associating with a company with questionable shareholders.
“When the cases of Mr Eliseev and Mr Yushevaev came to light, I immediately told Voi my views and as local people may remember the CEO of Voi came to Bristol at my invitation for face-to-face talks.
“Since then, I have continued to keep up the pressure and so I am pleased by this outcome. West of England residents are right to expect moral leadership and I am relieved that Voi have managed to be able to do the right thing”.
Weca has said it has been agreed Voi will continue to run e-scooters in the area until the new deal is in place, which is anticipated to be in late spring of next year.
Weca has issued a market notice to invite a single or group of companies to bid for the contract, which will also cover the provision
I back schemes that encourage people to leave the car behind and help us to meet our ambitious net-zero targets. I would very much like to encourage providers to now come forward and explain how they would provide a reliable, safe and affordable service for West of England residents.
of e-bikes and e-cargo bikes.
Matthew Pencharz, head of policy at Voi UK and Ireland, said: “Over the last two years, Voi has pioneered micromobility in Bristol, Bath and South Gloucestershire by working closely with local councils, riders, and other stakeholders to help the scheme become not only one of the most successful e-scooter services in Europe but be a safe, affordable and convenient one for all.
“Once the full details of the tender are announced in due course we will examine in close detail how our vision and expertise from operating in the UK and Europe’s biggest cities can help the region on its path to a low-carbon future and create better places for living.”
More than 280,000 people are said to have used e-scooters to make six million journeys in the region since the trial began in 2020.
Voi has operated hire schemes in more than 70 cities across more than 10 countries. The company recently published an economic impact report it commissioned, analysing its service in 17 UK towns and cities, including Bristol, its biggest market.
Voi said independent research had found almost a third (31%) of trips taken on its scooters (31%) ended on Bristol’s high streets, which it said was “helping revive” city centre shops, restaurants and leisure venues.
It estimated its riders would spend £37m at retail locations on high streets across the UK this year.
The business calculated that since its trial scheme in Bristol was launched in October 2020, nearly seven million rides had been taken, travelling over 11 million miles and replacing an estimated three million independent car journeys.
Mr Norris said the uptake of the scooters had seen some “notable successes” and some “challenges, including on safety”.
He said: “I back schemes that encourage people to leave the car behind and help us to meet our ambitious net-zero targets.
“I would very much like to encourage providers to now come forward and explain how they would provide a reliable, safe and affordable service for West of England residents.”