If You Invested in ZAPP ELEC VEHS GROUP LTD (ZAPPF)

Zapp Electric Vehicles Group Limited (trading over-the-counter under the symbol ZAPPF) is the owner of Zapp, a British electric vehicle brand focused on personal urban mobility in the two-wheeler segment. According to the company, Zapp EV is on a mission to electrify or revolutionise personal urban mobility by offering performance-oriented electric two-wheelers with a distinctive British design character.

The company describes its products as urban electric high-performance two-wheelers that aim to deliver traditional motorcycle levels of performance in a step-through format. Its debut model, the i300, is presented as an electric two-wheeler with a step-through design, removable batteries that can be charged from standard electrical outlets, and what the company calls "big-bike attitude" in a compact form factor. Zapp states that its two-wheelers blend modern design with optimised performance and a British edge.

Business focus and operating model

Zapp EV positions itself within the consumer cyclical sector and the auto manufacturers industry, with a clear focus on electric two-wheelers for urban use. The company has indicated that the i300 is the first in a planned suite of high-performance electric two-wheelers. It has also outlined a direct-to-customer model referred to as DSDTC (drop-ship-direct-to-customer), under which customers ordering the i300 online can have their bikes delivered to their home by authorised representatives known as "Zappers." These Zappers are described as providing at-home inspection, service and support throughout the vehicle ownership lifecycle.

In addition to direct online ordering, Zapp EV refers to a growing retailer network and authorised resellers. The company has stated that it has appointed authorised resellers operating in the United Kingdom and Ireland. It has also highlighted an experiential retail partnership through which the i300 is displayed in a high-traffic retail environment, allowing shoppers to see the product in person and place reservations ahead of a broader rollout in London.

Product positioning and market segments

The company describes the i300 as a performance urban electric two-wheeler aimed at riders who value style, performance and design. Zapp EV has emphasised that its products are optimised for urban riders and that it intends to expand its product lineup into additional high-growth two-wheeler segments. It has communicated plans to provide a wider range of options to more customers across different market segments, while continuing to refine the i300 to meet the demands of those segments.

Zapp EV has also referred to its intention to create a balanced product portfolio oriented toward growth in both Europe and Asia. The company has reported that it completed homologation in the European Union and United Kingdom, and has discussed plans related to production and supply chain arrangements, including assembling the i300 in the United Kingdom and registering inventory for sale on a single-vehicle basis while it rebuilds its supply chain outside Thailand.

Corporate developments and governance

The company has reported changes in senior management, including the appointment of a new Chief Executive Officer with experience in the international luxury automotive industry. Zapp EV has characterised this as a pivotal moment as it works to align execution with its stated opportunity in electric urban mobility and to bring more products to customers in Europe, Asia and other markets.

On the capital markets side, Zapp EV has announced that its ordinary shares commenced trading on the OTCQB Venture Market under the ticker ZAPPF, after previously trading on the Pink Limited Market. The company has noted that the OTCQB Venture Market is operated by OTC Markets Group Inc. and is for early-stage companies that meet specified reporting standards, including maintaining current reporting with the U.S. Securities and Exchange Commission and completing an annual management certification.

From a corporate governance perspective, Zapp Electric Vehicles Group Limited has filed reports on Form 6-K and Form 20-F as a foreign private issuer. In one such filing, the company disclosed that shareholders approved an increase in its authorised share capital, with the increase becoming effective immediately following the vote at an annual general meeting. The company has also referenced registration statements on Form S-8 and Form F-3 that incorporate certain Form 6-K reports by reference.

Manufacturing, supply chain and distribution

Zapp EV has described its operations as being run by a team of experts from the mobility industry. It has reported that it completed homologation for the i300 in the European Union and United Kingdom, a prerequisite for registering and selling vehicles in those markets. The company has also stated that it will either need to regain access to a factory in Bangkok or shift production to a different ISO 9001:2015 certified factory. In the interim, Zapp EV has indicated that it intends to begin assembling the i300 in the United Kingdom and to register inventory for sale on a single-vehicle basis.

On the distribution side, Zapp EV has highlighted a hybrid approach that combines direct online ordering, home delivery via Zappers, authorised resellers in specific countries, and experiential retail partnerships. The company has described a strategic retail partnership with an experiential technology specialist operating inside a major department store in London, where the i300 is displayed in a dedicated area focused on bikes. This installation is described as an experiential hub that complements Zapp’s wider distribution network and offers consumers, media and other partners a first-hand look at the i300’s features.

Regulatory reporting and financial profile

As a foreign issuer with securities quoted on the OTCQB Venture Market, Zapp Electric Vehicles Group Limited files periodic reports with the U.S. Securities and Exchange Commission. The company has furnished unaudited condensed consolidated interim financial statements for the six months ended March 31, 2025, including statements of profit or loss, financial position and cash flows. These filings outline items such as operating loss, finance expense, other expense, income tax, and shareholders’ deficit, as well as cash flows from operating, investing and financing activities.

The company has also included risk factor discussions in its annual report on Form 20-F and has cautioned that forward-looking statements in its communications are subject to risks and uncertainties. It has directed readers to the risk factors section of its Form 20-F and other SEC filings for more detail on these risks.

Investor profile and share structure

Zapp EV’s ordinary shares trade over-the-counter under the symbol ZAPPF, and the company has emphasised that uplisting to the OTCQB Venture Market offers enhanced transparency, liquidity and visibility for investors compared with its previous market tier. At an annual general meeting, shareholders approved an increase in the company’s authorised share capital, expanding the number of ordinary shares the company is authorised to issue. This change was disclosed in a Form 6-K filing and was stated to be effective immediately following shareholder approval.

Through its SEC filings and press releases, Zapp EV has communicated that it is rebuilding trust with a broader investor base while re-establishing its supply chain to build and sell i300 units and evaluating future product lines in high-growth two-wheeler segments. The company’s communications emphasise its mission to redefine or reshape how people experience electrified urban mobility through its electric two-wheeler offerings.

Key characteristics of Zapp EV

• Owner of the Zapp brand, a British electric vehicle brand focused on personal urban mobility in the two-wheeler space.
• Debut product is the i300, an urban electric high-performance two-wheeler with a step-through design and removable batteries that can be charged from standard outlets.
• Plans for a suite of high-performance electric two-wheelers and a balanced product portfolio aimed at growth in Europe and Asia.
• Direct-to-customer model (DSDTC) with home delivery and ongoing support by authorised Zappers, complemented by authorised resellers and experiential retail partnerships.
• Foreign private issuer filing reports on Form 20-F and Form 6-K, with securities quoted on the OTCQB Venture Market under the ticker ZAPPF.
• Focus on rebuilding its supply chain, including plans to assemble the i300 in the United Kingdom and considerations regarding factory arrangements.