E-scooter firm Voi, which operates hire schemes across the West of England, 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 Swedish tech firm confirmed to BusinessLive the investors had been removed from the business over the summer, and their shares have been sold, pending administrative confirmation anticipated to be announced by the company next 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 and are "anti-Putin supporters".
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 on Monday (October 31) it was looking for a long-term operator of the region’s e-scooter trials, which have been extended for a further two years. Voi has confirmed it will be applying for the new West of England 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”.
A Voi spokesperson said: "We've taken the lead in being transparent and have acted swiftly to do the right thing in light of the situation in Ukraine to ensure investors align with our values. We're grateful to Mayor Dan Norris, and all our partners across the West of England, for their ongoing support in the delivery of the UK's most successful micromobility scheme.
“Voi is delighted that the region is putting micromobility on a firm footing and looks forward to responding to the tender to ensure the continuation of our service for the riders who have made seven million journeys so far in Bristol."
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 expected to be in late spring of next year.
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.
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