As an existing crowdfunder, I received an invitation yesterday to ‘subscribe for convertible debt instruments’, which FP is legally required to offer after taking out ‘Loan C’ of EUR 9 million in April 2026 (Catch-Up Right). See here financial reports.
After 12 years of operation, FP reported negative equity at the end of 2025. It seems to indicate that despite the much advertised commercial success, the financial health of the company is deteriorating under a heavy debt burden. In the past, i would have not cared too much, and been happy to support the mission, but as the current management is, in my view (see other posts), not respecting the mission, i will not participate. I’m happy to hear any other viewpoints on this.
Did you also get an email asking to confirm you identity?
I always considered the crowdfunding to be an impact investment, rather than expecting it to make money. A way to support the mission, without them being at the mercy of commercial loans. That said the 2025 annual report does show increased turnover (€54m → €73m) and moving closer to profit (-9% → -2%). The loan amount is not massive compared to that.
Thanks for the feedback. Yes i got an email last week with the news that the STAK is going to use the Ledgy platform to manage our depository receipts. I think that is good news, and long overdue, so i completed the KYC online form linked in the ‘request for identification’ email. It is handled by RegLab.
AFAIK this is completely separate from the new crowdfunding request, which is a legal obligation following the April loan; my guess is that FP have been waiting to push this out until the Ledgy platform is ready, so Ledgy can handle any new investments.
I think the era of impact investing is over for FP; this current round will raise a max of EUR 372,764 which is a drop in the ocean of the EUR 40 million debt. They just have to offer this opportunity to comply with the law (Catch-Up Right). It will generate extra costs of at least EUR 20,000 + 50,000 in admin and legal fees as mentioned in the ‘key information’ note.
The best way to support this company now is by buying a FairPhone and convincing your family and friends to do so too, but after the FP4 android15 disaster i have lost confidence; bad decisions and non-existing customer service. And with negative equity, it is not sure they will be around for much longer, that depends on the goodwill of the senior lenders.