Bird's Chapter 11
Bird filed for Chapter 11 bankruptcy, according to PR Newswire. They've got a restructuring deal with their lenders and $25 million in debtor-in-possession financing from MidCap Financial. That money's supposed to keep operations running while they figure out what's next.
Interim CEO Michael Washinushi's talking about profitability and their mission to make cities more livable. That's nice, but this is bankruptcy. The mission doesn't matter if you can't make money. Bird's been burning cash for years trying to prove the unit economics work, and clearly they don't.
The Chapter 11 filing in Florida is setting up an asset sale. They've already got a "stalking horse" bid from their lenders, which sets a floor price for the assets. The whole process is supposed to wrap in 90-120 days, which means they're looking for a quick exit.
Bird scooters used to be everywhere in the Bay Area. They were convenient, I'll give them that. But the business model never made sense - high operational costs, vandalism, short product lifespan, and cities that kept changing regulations.
If you're in San Francisco and still want scooters, Lime is available through the Uber app. At least Lime's still standing.