Presentation July-August 2017 1 The CRP Group since 1970 The - - PowerPoint PPT Presentation

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Energica Motor Company S.p.A.

Presentation July-August 2017

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The CRP Group – since 1970

• The

Group is nowadays made up

• f

specialized companies: CRP Meccanica, CRP Technology, CRP Service plus its US-based partner CRP USA. In 2010 CRP Group decided to invest in the new field of sustainable vehicles by creating Energica.

• With more than 45 years of experience in the world of F1 and more than

20 years

• f

experience in Additive Manufacturing, CRP Group is distinguished by its know-how in specific application fields including but not limited to: automotive and motorsports, design, aerospace, UAVs, marine, entertainment, defense.

• Innovation, investments in research and development, and strategic

foresight are the principles that the Group has shared throughout its history.

• The CRP story began in 1970. After he gained experience in several

mechanical and high precision areas, Roberto Cevolini established his own company for high precision CNC machining in the motorsports sector.

CRP Group

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The CRP Group

CRP Group

“Companies working in F1 field have something different in their DNA”

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The CRP Group – since 1996

• CRP is a pioneer in Additive Manufacturing, having started in 1996 when

it was almost unknown in Italy. In the Nineties 3D printing technology was known as Rapid Prototyping: it was a fast, cost effective way to realize new design concepts; it allowed us to create perfect 3D shapes.

• The studies carried out by CRP Technology from 1996 have changed the

scenario of Rapid Prototyping introducing a new concept of Additive Manufacturing and 3D Printing: Windform 3D Printing materials have allowed the technology of selective laser sintering (SLS) in order to realize high performing parts for wind tunnel applications as well as finished and functional parts.

• Windform’s mechanical properties made them a layer above 3D Printing,

leading from Rapid Prototyping to Additive Manufacturing. The birth and launch

• f

Windform materials has been an important turning point worldwide.

• It occurred in 2005, when we created, produced and launched on the

market Windform XT, composite polyamide based material for SLS, the first carbon fiber filled ever.

CRP Group

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The CRP Group – CRP Racing 2006-2010

• CRP

Racing was founded in December 2006, as CRP Technology’s Racing Department. CRP Racing’s goal was to become the main point of reference in its market for quality, speed, reliability, ability and service.

• CRP Racing became the leading two stroke tuning firm in Italy,

winning the Road Racing Italian Championship and Honda Trophy in 2007 and 2009.

The changeover to green

• In 2009 we decided to bring the “CRP Method” to a new project:

the eCRP was the first e-racer to come out of Italy. The CRP’s electric program started

CRP Group

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CRP Group

“Passion allows us to endure bitterness and waivers that ambition would not justify in any way” Enzo Ferrari

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Energica Motor Company S.p.A.

“If you can dream it you can do it” Walt Disney

Energica Motor Company S.p.A.

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Energica Motor Company – since 2012

• Energica was born from an entrepreneurial vision of Cevolini’ family between 2008

and 2009. During those years, CRP Group decided to start looking at what they thought was the future, like the electric vehicles.

• In 2009, CRP Group took the opportunity to develop a fully electric racing motorcycle

and so they started with the eCRP project. CRP made two years of racing that are served primarily as a technology scouting, then in 2011 they started working on the road version, Energica.

• The team started to fit the needs of a streetbike with the new electric technology and

the differences of the racing market, from here they arrived at the new version of Energica Ego.

• On the design of the bike has played a key role the CRP Group's know-how because

it is only thanks to the CRP technologies that the team were able to make a project so important in such a short time.

• Projects that would normally take 4-5-6 years in the big companies in our case

were made possible thanks to the CRP technologies developed for the aerospace and F1. This allowed Energica to shorten the time to market and to shorten the timing of the research, also containing costs.

Energica Motor Company S.p.A.

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Energica Motor Company

From nothing to everything. The creation process is something inexplicable. The idea has become a form, a chassis, an engine. The sketch on white paper is now a real product.

• Energica Motor Company was officially founded in 2014 with the aim of

creating the first high-powered electric motorcycles.

• After two years of racing, the eCRP team started working on the road version:

Energica.

• Today, after test and homologations, Energica motorcycles are on sales worldwide.

Since January 2016 Energica is publicly listed on AIM Milan Stock Exchange Market, to scale the market and start global production. Products ENERGICA EGO is the first model of EMC, it is the first Italian high-performing electric sportbike. ENERGICA EVA the streetfighter model.

Energica Motor Company S.p.A.

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Energica Milestones

Start of the Electric motorcycle project (within CRP Group)

2009 2010 2011 2013 2014 2015 2016

• Energica EGO launch
• Energica new headquarters

eCRP – the electric racebike wins European Electric Championship

ENERGICA Bologna Modena Parma

Location

First participation at EICMA*

• Establishment of

Energica Motor Company Srl

• Worldwide Demo Tour

(USA+ EU+ MC)

• Stock Market
• Opening Galleria

Energica (San Francisco)

Energica Motor Company S.p.A.

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Energica Milestones - 2016

Feb/March June July August April May Sept/Oct.

Sales Ego pre- series USA market strategy Moving in the new headquarters Energica Eva Ride Experience Europe Start production Bay Area One-day trip LA- SF Deliveries Eva Grand opening – new factory Energica Goodwood Festival Opening Galleria Energica in San Francisco New dealers (Spain) New sales strategies (Value Plan)

Nov/Dec

Eicma 2016 – The International Motorcycling Fair Sales Network Growth California Sales License

• Launch of Energica Eva
• Preparation of product Industrialization
• US and European Homologation
• Energica Eva Ride Experience
• Energica New Headquarters
• Opening of branded display halls
• News sales strategy
• Unveiling Esse Esse 9 prototype
• Sales Network Growth

Energica Motor Company S.p.A.

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Energica Milestones - 2017

Gen/Feb June July August March/April May

CES 2017 – Las Vegas, with CRP Group and CRP USA New US General Manager Partnership with Apache Custom Motorcycles – new electric cafè racer based in Energica Eva Energica joins CharIN e.v., to promote the CCS standard worldwide. Homologation Euro 4 achieved New commercial agreements: France, Italy, US FIRST ENERGICA FAST CHARGING STATION in Dolomites, Selva di Val Gardena Energica @ Wheels&Waves Livia Cevolini speech @ TEDxModena New Area Sales Manager Europe New Sales agreement in Germany - Munich Dolomites Vives test ride – Passo Sella available

• nly for EVs

New important change of MSRP in USA Official statement about 3° model Canadian market approach

• Stefano Benatti new US General Manager
• Energica joins CharIN e.v. to promote CCS technology
• Unveiling first Energica Fast Charge Station in Selva di Val

Gardena, Dolomiti

• Dolomites Vives initiative
• New commercial agreements in USA and Europe
• New Area Sales Europe
• Change of MSRP in USA
• Canadian market approach

Energica Motor Company S.p.A.

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The electric sportbike: 107 kW motor power, 200 Nm torque, top speed 240 km/h Fast charge on board: 0-85% < 30 min)

Energica Motor Company S.p.A.

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The electric streetfighter: 80 kW motor power, 180 Nm torque, top speed 200 km/h Fast charge on board: 0-85% < 30 min)

Energica Motor Company S.p.A.

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EsseEsse9 concept

At EICMA 2016, the company unveiled a new concept, an evolution

• f

design and technologies. The new prototype has been called EsseEsse9, as the real name of Via Emilia, the major road that crosses the Italian Motor Valley. EsseEsse9 approaches the old- school branch

• f motorcycles as it’s an essential prototype: a

concept that encloses the genuine engines passion typical of our region. Energica Motor officially confirms that it will unveil the final version of this third model at Eicma 2017. Energica Eva EsseEsse9, currently

• n

homologation procedure, will arrive in European and US market in 2018, and will reach a new segment: the old school style motorcycle market.

Energica Motor Company S.p.A.

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DASHBOARD

A 4,3" Color Display allows great flexibility, supporting the flow of information and interactivity with the vehicle system

RIDE BY WIRE ENGINEERING

The ride-by-wire system ensure the perfect driving experience with 4 different engine mappings and 3 different mappings of regenerative braking

PARK ASSISTANT

In order to facilitate parking and maneuvers on slopes or into rush traffic

BATTERY PACK

Lithium-polymer battery with internal designed cooling

• system. Dozens of

sensors and electromechanical devices ensure maximum vehicle performance and driver safety

VEHICLE CONTROL UNIT

EGO’s battery, inverter, charger and ABS are constantly monitored and managed by the VCU, completely designed and developed by Energica

CONNECTIVITY

The vehicle can be equipped with “short-range” and “long range” connectivity services

ABS

Ego has the latest generation ABS BOSCH with rear-wheel lift-up mitigation system

SUSPENSION

EGO is equipped with adjustable Bitubo (rear)

TIRES

EGO is equipped with road-gripping Pirelli Diablo Rosso II tires

BRAKES

Front / rear braking systems provided by Brembo

ITALIAN DESIGN

EGO has an Italian-style, tubular, craftsman-like trellis high strength steel frame

KEY FEATURES

Top speed: 150 mph / 240 kmh From 0 to 60 mph / 100 kmh: < 3" Torque: 195 Nm (0 to 4700 rpm) Fast charge: 30 minutes (80%) Zero emissions

FAST CHARGE

The only moto with integrated Fast Charge

Core technology / IP Selected supplier

Core Technology

Energica Motor Company S.p.A.

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✓ Fully Homologated: Especially in the world of electric vehicles, relatively new and "younger" than the most "established" combustion vehicle's market, there is still a little confusion on how important it is to get the COP, homologation, safety and reliability approvals. Energica are the

• nly

electric high- performing motorcycles fully homologated and approved by autorities for both Europe and USA. ✓ F1 and Aerospace Background: Energica benefits in countless and immeasurable ways from the close relationship and consultation with parent company CRP Group - a leader in the Formula 1 and Aerospace industry. The overall culture that distinguishes CRP Group is fully integrated into Energica Motor

• Company. Diving in F1 world and aerospace industries keeps

Energica at the forefront of state-of-the-art technology and ready for future innovation. ✓ R&D: Energica core R&D activities are aimed at achieving knowledge to design new products and improve the ones already on sales. Development programs are particularly aimed at: ▪ Reducing vehicles weight ▪ Improving aerodynamic characteristics ▪ Seeking new technical solutions

Energica Motorcycles key features

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VCU – Vehicle Control Unit

Energica Motor Company S.p.A.

VCU functions are:

• Vehicle Power Management;
• Charge Control and Charge Station Interface;
• Drivetrain Control;
• User actions handling;
• Vehicle Functional Status handling

User Actions VCU can handle all User Controls including:

• Throttle Control;
• High/Low Beam Control;
• Horn;
• Brake Switch;
• Motor Start;
• Turn Indicator Switches;
• Mode Select Switch

*Energica has an Italian patent on VCU.

Patent pending for major foreign countries in progress

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Battery Pack

Energica Motor Company S.p.A.

CAPACITY 11.7 kWh LIFE 1200 CYCLES @ 80% (100% DOD)

Batteries: Energica motorcycles use a high-energy lithium polymer (Li- NMC) battery. Contained in sealed housing holding battery cells, the Battery Management System (BMS) has all the necessary provisions to ensure the safety of the vehicle. The battery keeps all high-voltage components encapsulated, making it impossible to accidentally be exposed to risk. The battery pack is an intelligent device with its own electrical brain, comprising dozens of sensors and electromechanical devices that constitute a closed subsystem to ensure maximum vehicle performance and driver safety in all environmental conditions. Energica has designed a cooling system for the Ego and Eva battery pack that is superior thanks to its specific ventilation paths that limit the stress of the batteries. This provides considerable benefits to both performances of the vehicle and the life of the battery.

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Dashboard

Energica Motor Company S.p.A.

The TFT full-color LCD dashboard on Energica motorcycles with 16.7 million display colors has excellent daytime and nighttime visibility. The active matrix dashboard creates a real Human Machine Interface for the Energica motorcycles. This technology allows great flexibility, supporting the flow of information and interactivity with the vehicle system. It can provide an extensive menu of configurations and advanced user diagnostics, which are easy to

• read. It also monitors all of the functions and phases
• f

vehicle

• peration,

such as charging, driving, standby, and the connection with the outside world.

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Dashboard - Diagnostic

Energica Motor Company S.p.A.

• TROUBLE CODES erasing/visualizing options (datas , reading, failure code);
• All motorcycle real time readings visualization, almost 200 parameters (throttle position, battery current draw, single

cell charge status);

• motorcycle parameters and firmware updating
• reset VCU Vehicle Control Unit;
• possibility to swich on and off several on board devices( fans, light etc.) through workshop service tablet, for testing

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Fast Charge

Energica Motor Company S.p.A.

• Fast Charge on board: Energica is the first and only electric

motorcycle capable of fast charging with CCS standard (Type 1 & 2)

• Energica motorcycles can be recharged through the outdoor

charging stations or at home.

• Equipped with an onboard battery charger with a cable interface
• n the charging station or remotely via Bluetooth connectivity.
• All charging parameters can be displayed directly on the

dashboard or remotely via bluetooth connectivity. (GPRS from 2017).

• The vehicle’s on board charging socket is equipped with

automatic locking device cable.

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Energica is the unique EV Motorcycle with DC fast-charge technology based

• n CCS Combo that allows the bike to charge 80% of battery in 20 minutes.

Energica intends to deploy an installation plan of fast charge points targeting the best roads motorcyclists love to ride through. In partnership with several companies (Utilities, Hardware provider, charging services) Energica will either co-finance the installations of dedicated chargers (DC technology 20kw, Combo CCS standard plugs) or facilitate the access to existing ones. This will allow Energica customers to enjoy the best roads without any range anxiety. Energica will fill the gap to guarantee EV motorcycle rides. A detail plan on routes is in process according to Energica dealership network and a first round of installations has been identified in some locations in Italy (Energica Fast Charge already unveiled in Dolomiti area) and in California. In the areas where charging network are already available Energica facilitates customer to used them. In The Netherlands Energica has the option to use fast charge network for free thanks to an agreement with Fastned Company that provides 4 years fast charge through the growing network with 20-30 minutes average charging time. The fast-charge installation project foresees multiyear plan with prospective investment up to 1.mln € according to market areas and needs, starting from for Italian region and California covered under the marketing budget.

Fast Charge Infrastructure Program

Energica Motor Company S.p.A.

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Energica Motor Company S.p.A.

• Unveiling

the first “Fast Charge Infrastructure Program” charging station. Following Nissan and Tesla, Energica unveiled the first Energica fast charging station at Selva di Val Gardena, Dolomiti - Italy.

• The 50 kW Fast Charging Station has been installed in Str.

Meisules, 144, 39048 Selva di Val Gardena (BZ) thanks to the partnership with Alperia.

• This station is the first fast charge in Dolomites Area and is part of

the "Energica Fast Charge Infrastructure Program“, an installation plan of fast charge points targeting the best roads motorcyclists love to ride through.

• In partnership with several companies (Utilities, Hardware provider,

charging services) Energica will either co-finance the installations

• f dedicated chargers (DC technology 20kw, Combo CCS standard

plugs) or facilitate the access to existing ones.

• With this new installation, motorcyclists and other EV customers

will finally be able to discover the amazing Dolomites area with full electric vehicles and without any range anxiety

First Energica Fast Charge

Energica Motor Company S.p.A.

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Value Plan

Energica is working on a plan to warrantee the value of 2 years used Energica

• motorcycles. The plan is based on a package of measures including that the

manufacturer will guarantee the value of the vehicles sold minimum 50% of the initial price after 24 months, VAT included. The plan works as follow: 1.Trade-in of the motorcycle for the purchase of a new Energica model: The

• fficial Energica Dealer undertakes to evaluate the motorcycle given in trade-in

at 50% of the retail price + € 6.000,00 VAT Included. This part is paid as over- valuation by Energica. 2.Super-warranty of the battery for 100.000km or 5 years [1] After 24 months from the motorcycle registration (minus 1 as notice), the Customer, based on its own feeling experience, has to choose between the two

• ptions.

The trade-in of the motorcycle will be up to the local dealer that originally sold the bike. The extra bonus will be paid directly to final customers by Energica Motor Company. The plan is covered under the “sales support costs” approved in the official business plan. [1] Whichever occurs sooner

Energica Motor Company S.p.A.

26 Energica Motor Company Inc., the exclusive distributor for Energica Motor Company SpA, the Italian manufacturer of high-performing electric motorcycles, is strengthening its presence on the American territory: new commercial agreements were just signed in California, Florida and New Hampshire. In addition Energica officially announces approaching the Canadian market. Negotiations are in progress as well as homologation procedure for Canadian territory In Europe, last news is that Energica has signed a new commercial agreement in Germany with Iwan Bikes GmbH. The dealer is located a few miles from Munich and will serve an important area for the Italian manufacturer. Energica Motor has decided to invest in German market by dedicating a commercial resource, Gerhard Ziegler, a new Area Sales Manager Europe.

Energica Sales Network

Energica Motor Company S.p.A.

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Energica USA Updates

The US division of Energica Motor Company S.p.A. was born in 2014 to support the Italian company on

• ne of the most active EV market in the world.

After only 12 months, Energica Inc. now has an

• perating headquarters in Redwood (San Francisco),

able to meet customers' sales & service needs. Energica Dealer & Service Centre is supported by a dealer network in Los Angeles, West Palm Beach (Florida) and Nashua (New Hampshire). New negotiations are in the pipeline. As a result of this growth, Energica announces an important change of MSRP which will be closer to Energica European prices. This change involves a reduction in the suggested retail price of about $ 5,000. "The significant competitive improvement," says Stefano Benatti, US General Manager Energica Motor Company Inc., "is due to improved economies

• f scale and the operational structure optimization in

the United States."

Energica Motor Company S.p.A.

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Global Electric Motorcycles Market

• Electric Motorcycles & Scooters Market size was valued at over USD 25 billion in 2015 and will grow at more than 10%

CAGR estimation from 2016 to 2024. Global shipments are projected to surpass 60 million units by 2024. *

• According to ACEM E-motorcycles registration report we can see more than positive signals from the European Market: +

50% compared to 2015.

• Joel Couse, chief economist for Total, predicted that sales of electric cars will surge from about 1% globally in today’s new car

market to up to 30% of the market by 2030.

• According to Tracxn Electric vehicles Report electric vehicle space in 2016 saw investments increase by 500% from

previous year. Energica Motor Company was the only one to go public in this sector in the last three years.

* Source: “Electric Motorcycles & Scooters Market Size By Product (Motorcycles, Scooters), By Battery (SLA, Li-ion, NiMH), Industry Analysis Report, Regional Outlook (U.S., Canada, Germany, UK, France, China, India, Japan, Brazil, Mexico), Growth Potential, Price Trends, Competitive Market Share & Forecast, 2016 – 2024” by Global Market Insights, Inc.

Energica Motor Company S.p.A.

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Competitive Scenario

• BMW C evolution (maxi-scooter)
• Producer of electric motorcycles only
• Current product range made up by 6 models
• Battery-powered Freeride E launched in September

2014

• 1 electric motorcycle prototype unveiled to press in

June 2014 (LiveWire)

• Electric motorcycle cocnepts under development and

in pipeline for production (PES/PED)

Competitive Scenario high-powered

Traditional motorcycles manufacturer Electric motorcycles manufacturer Premium products Mass products

Main Electric Motorcycles competitors - availability

• Sales started in July 2009
• Polaris acquired Brammo’s electric motorcycles

division

✓ ✓ ✓ ✓ X X

• The competitive environment is mainly composed by a few of small Electric Motorcycles focused players. Below on the left is a table showing the

companies operating in the production and sale of electric motorcycles and the companies which intend to launch electric motorcycles.

• On the right is a graph illustrating the competitive positioning of the Company compared to the current competitors within the high-powered electric

motorcycles segment. As far as Energica’s competitive positioning is concerned, we view it as a premium brand in the High Powered Two Wheels Market, i.e. potentially competing with KTM and Harley Davidson (or with the Italian Ducati if we want to remain in the Italian motor valley), but avoiding direct competition as it is specialised in innovative electric motorbikes. On the other hand, Polaris, with the acquisition of the motorcycles division of Brammo, represents the first mass market player that enters the electric market, suggesting that there is a growing interest towards the sector of electric vehicles.

Energica Motor Company S.p.A.

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Future Strategies and Plans

Future Strategic milestones

• Start Series Production

2016

• New additional production

line

2018 2019 2020 2017

• 2 New additional

production lines

• Launch of a New

Model (4th)

• New additional

production line

CONSOLIDATION PHASE

• Launch of a New Model (3rd)
• Restyling of the

first 3 models

2021

Energica Motor Company S.p.A.

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Marketing Plan Milestones

The marketing strategy aims to define company and products placements, according to our target: a) To strengthen the credibility of the company and its products b) To make the target aware of the value proposition of our product c) To leverage the products in order to create community

Energica Motor Company S.p.A.

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2017 Marketing Plan- activities

1) Fairs (International, National, local, EU/USA) 2) Show tester & Brand ambassador (8 tester in USA/EU and several testimonial in key markets) 3) Long test media (strengthen the collaboration with media with long test ride) 4) Product Communication (ADV plan between February and June on 8 EU media and 3 USA media in several fields – motorcycling, sport, lifestyle) 5) Digital Communication (website SEO, social media marketing and google ads) 6) Promotions (Value Plan, Kit promotion, fast-charge) 7) Sales Development (new markets and dealer network development)

Energica Motor Company S.p.A.

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Analyst Coverage

"Ready to scale up"

• "High performing electric motorcycles manufacturer founded back in 2014, Energica Motor

Company has a clear mission in mind: to create high performance - high powered electric motorcycles with top quality components.” ValueTrack Analyst Coverage available on Energica Investors Relations section

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TT ZERO

«The Electric Production TT Lap Record holders»

ELECTRIC REVOLUTION

ADAM CHILD & ENERGICA EGO

Energica Motor Company S.p.A.