Grupo Lev, Brazil’s leading provider of light electric mobility (LEM) solutions, could seek private equity investment by year-end, co-founder and director Bruno Affonso said.

Although Rio de Janeiro-based Lev has the financial wherewithal to fund its strategic plan, a financial sponsor could help accelerate its growth, Affonso said. A PE investor, for example, could help the company open 20-30 new stores per year instead of its current pace of five per year, he added.

The company, which owns the electric bicycle brand Lev and the electric scooter brand Onn, could also use the fresh capital to launch more LEM models, the director noted.

Lev was in talks with a few PE firms in 2020 but ultimately decided it was not the right time to bring a sponsor on board, CFO Aneliza Lima said in a joint interview. “Back then, we still didn’t have our factory in Manaus, footprint in São Paulo, nor an audited balance sheet.”

The company’s books are now audited by KPMG, it has expanded its footprint to São Paulo, and last year opened a plant in the Manaus Free Trade Zone, which helped increase its EBITDA margin from 22% to 29%, she added.

Lev’s revenue increased 35% last year compared to 2024 and projects a 2026 turnover of about BRL 250m (USD 50.5m), Affonso said.

The company is interested in selling only a minority interest to a PE investor and welcomes overtures from sponsors with retail investment expertise, as well as ESG and impact funds, the director said. PE investors from Europe or with investments in that region would also be a good match, he noted, adding that Lev has clients in France who recently committed to opening a Lev store in Paris on a commission-and-royalty basis.

Lev has good relationships with Itaú BBA – its main provider of long-term structured financing – and M&A boutiques like IGC Partners, Lima said. Although it has not retained an external advisor, the company regularly provides updated reports on its strategic goals to Itaú BBA and the PE firms that previously knocked on its door, Lima noted.

Before moving ahead with a potential deal with a PE investor, Lev wants to advance talks with a German investment fund to push out the maturity of its debt, Lima said without offering more details. The undisclosed German sponsor supports impact companies in emerging markets and has already backed a Brazilian cocoa business. Lev expects to reach an agreement with the German fund in 1Q26 or 1H26, Lima noted.

Lev has more than 40 retail stores and around 170 technical assistance centers across Brazil. It also sells its products through 138 resellers and on its own e-commerce platform, Affonso said.

The company, which claims to control 27% of Brazil’s electric bicycle market, also wants to further strengthen its domestic footprint through strategic partnerships, the director said.

Last year, it formed a commercial partnership with Magazine Luiza to sell its electric bicycles and scooters at the Brazilian retailer’s stores. The partnership started with selective stores and has gradually expanded, Affonso said.

The company also formed a recent partnership with local real estate developer Cury, which gave one electric bicycle to each of the 1,800 apartments in a development designed around green mobility, the director said.

Strengthening Lev’s footprint in the B2B space is also part of its strategic goals, Affonso said. The company plans to open offices in the states of Paraná, Bahia, Paraíba, and Minas Gerais. The plan is to establish operations near Magazine Luiza’s distribution centers to strengthen Lev’s logistics network as it prepares to meet higher demand for its electric bicycles and scooters, Affonso said.

Affonso co-founded Lev in 2010 alongside his brother and CEO Rodrigo Affonso.