Letenda, a company with a strong vision to become a major player in the transportation industry, is making significant strides in the electric bus market. With a focus on innovation, sustainability, and collaboration, Letenda aims to transform public transit.
Nicolas Letendre, Letenda's CEO and founder, with over 15 years of experience in the transportation vehicle manufacturing industry, including roles at tier-one suppliers and Bombardier Aerospace, identified a crucial gap in the North American bus market. "My family comes from an entrepreneur family, and I always wanted to start a vehicle manufacturing company," Letendre explains. This passion, combined with technical expertise and a keen business sense, led to the inception of Letenda.
In 2013, Letendre began investigating the bus industry, engaging with customers and suppliers to understand their needs. A key takeaway from these interactions was the demand for a mid-sized bus, a segment underserved in North America, where the market has been dominated by 30-foot and 40-foot full-size buses since the 1960s. "The customers told us we need smaller buses than the full-size bus that we have in North America," Letendre states, highlighting the need for a 9-meter bus for transit and shuttle services.
Innovation at the forefront
Letenda's journey began in 2016, with Letendre participating in various accelerators to refine the business plan and model. Securing initial investments in 2017, Letendre focused on developing a battery-electric bus program that addresses key customer requirements: zero emissions, improved passenger accessibility, enhanced maneuverability, and a good range.
Letenda's commitment to innovation is evident in its design and technology. The company's buses feature a distinct shape, improved passenger cabin and accessibility, enhanced driver field of view for increased safety, and energy efficiency, and computer-controlled systems for data provision. A rear steering system enhances maneuverability, allowing drivers to navigate tight corners with ease. "So you drive the bus now like a car and not like a bus anymore," Letendre explains.
Targeting the public transit market
Letenda primarily targets the public transit market, including municipal transit, airport shuttles, and university shuttles in the USA. The company also recognizes the emerging demand for on-demand transit services in smaller towns, where smaller buses like Letenda's are ideal. "Like the Uber, but for buses, and you don't need a full-size bus for that service, they take less people, so a smaller bus makes sense," Letendre points out.
Strategic manufacturing and expansion
Letenda's business model involves collaborating with manufacturing partners to produce its buses. This approach allows for efficient production ramp-up and scalability. Initial manufacturing will occur in Canada to serve launch customers, with plans to utilize a manufacturing partner's US site to comply with "Buy America" requirements for public transit projects in the United States.
The company is also exploring opportunities to expand its manufacturing and market reach. Letendre expresses interest in collaborating with Taiwanese manufacturers to serve markets in different regions, leveraging Taiwan's capabilities and Letenda's innovative platform.
Competitive and sustainable
Letenda is committed to providing competitive solutions in the electric bus market. The company's buses are priced competitively with major competitors like BYD, and Letenda has the advantage of being eligible for FTA (Federal Transit Administration) projects and avoiding surtaxes. "We are competitive with the other electric buses. BYD is a Chinese company, and is banned from applying to FTA like public transit projects", Letendre explains.
Letendre also recognizes the importance of government incentives in driving the adoption of electric buses. In Canada and the USA, public transit operators utilize grants to purchase buses, a model that Letenda is familiar with. "And In Canada, we have the incentive for research and development (R&D)," Letendre emphasized that the sound ecosystem of R&D is very helpful for the company.
Data monetization and AI integration
Letenda's business model extends beyond bus sales to include aftermarket parts and data monetization. The company plans to leverage the data generated by its buses to provide valuable insights to customers, enhancing their operations and services.
Furthermore, Letenda is embracing cutting-edge technologies like AI to enhance its offerings. The company is integrating AI-powered passenger counting devices to provide valuable data to customers.
Letenda is currently in a Series A fundraising round to support its commercialization phase. The funds will be used to purchase parts and work with the manufacturing partner to deliver buses. "We are planning to achieve our breakeven point executing the Series A plan," Letendre states.
Collaboration and government incentives
Letenda is coming to Taiwan in May for the Computex and actively seeks strategic partnerships to expand its market presence and leverage local expertise. The company has initiated discussions with Taiwanese bus manufacturing companies to explore collaboration opportunities.
As an innovative bus company based in Quebec, Letenda is poised to make a significant impact on the transportation industry with its innovative electric bus technology, strategic partnerships, and commitment to sustainability.
Article edited by Jack Wu
