Lightyear attempts to rescue solar EV future following bankruptcy

Lightyear is hoping to reignite production plans for its mass produced solar electric car after the business was forced to file for bankruptcy just after opening pre-orders for its new vehicle.

The Lightyear 2, which is expected to be priced at around £35,000, has a solar roof and hood enabling the car to double its range to more than 800km (500 miles) per charge and overall three times less charging than a conventional electric vehicle (EV).

Lightyear had signed a pre-order agreement with leasing giant Arval for 10,000 units of Lightyear 2 in January topping off a busy promotional period at the start of this year for the business.

Arval's chairman and chief executive Alain van Groenendael described Lightyear's technology at the time as "proven, affordable and environmentally friendly".

The Lightyear 2 launched at the Consumer Electronics Show (CES) in Las Vegas on January 12.

The new solar EV had amassed over 21,000 pre-orders from B2B partners after one week of waiting lists being open.

Arval, Athlon, LeasePlan and MyWheels had all put down pre-orders for the Lightyear 2, corresponding to a revenue of nearly €840 million (£741m), but this show of faith was not enought to save the business.

A chaotic series of announcements followed, which saw the company abandon production plans for its previously announced Lightyear 0 to focus soley on the Lightyear 2 on January 23, before then filing for bankruptcy on January 27, just two weeks after opening the waiting list to buy the new car.

The previous incarnation of Netherlands-based Lightyear had around 600 employees, but a former senior member of the business confirmed to Fleet News that “only a few employees remain”.

However, the remaining founders and directors at Lightyear have now formed a new company and managed to raise €8 million (£7m) from previous investors to help the business continue while it raises new funds.

The investment consortium was led by Invest-NL, a private company led by Wouter Bos, which was created in 2020 to provide financing to companies “that will make the Netherlands more sustainable and more innovative”.

"We tried to find the best way forward for everyone," Lightyear founder Lex Hoefsloot

Lex Hoefsloot, Lightyear founder, said: “All involved worked relentlessly to secure the continuation of our mission.

“We kept the interests of all stakeholders at heart during this process.

“We realise that the impact on our employees, investors, clients and suppliers is significant, but we tried to find the best way forward for everyone.”

Hoefsloot said the investment creates a “solid capital base for our new company” and gives the business the opportunity to continue to work on its solar EV concept and raise the additional investment needed to start manufacturing the Lightyear 2.

Lightyear confirmed the intellectual property (IP) for its vehicle concepts will be used as collateral for all stakeholders.

Rinke Zonneveld, Invest-NL chief executive, said: “Thanks to the efforts of many, we are glad that Lightyear can continue its mission.

“The past year Invest-NL has invested significantly in Lightyear, because we believe in the potential of its technology.

“The challenge remains significant, but the company also has great opportunities. Together with all involved we want to make a success of Lightyear."