Electric boat maker X Shore sinks after raising over €100m from high-profile investors

X Shore has been declared bankrupt after a turbulent few years at the electric boat startup. The company currently employees 70 people who will now be laid off.

The company filed for insolvency with the Stockholm District Court Tuesday, which approved the application later that day, according to Swedish local news outlet SN citing court documents.

X Shore failed to keep going despite raising over €100m in capital from investors including SEB Venture Capital, Team Global and a cohort of angel investors such as Silicon Valley tycoon Navin Thukkaram and former Northvolt CEO Peter Carlsson.

Against the current

X Shore was founded in 2016 by Konrad Bergström, the Swedish entrepreneur behind Zound Industries, which owns the popular speaker and headphone brand Marshall.

The boats swap out gas for modular lithium-ion batteries, powering electric motors controlled by software that balances range, speed, and efficiency.

In 2019, Bergström exclaimed the "Tesla of the seas" company would be “much, much bigger than Zound.” But it never quite lived up to those expectations.

In early 2023, the company laid off 10% of its staff and experienced parts shortages that significantly reduced its production capacity. The company also reported a decline in sales, with losses increasing from €11.6m to €19.9m.