TVS Motor Company, one of the largest two-wheeler manufacturers in India, has successfully acquired Britain’s most iconic motorcycle company, Norton Motorcycles. The all-cash deal has been closed at GBP 16 million, which converts to INR 153 crore.
Founded by James Lansdowne Norton, in Birmingham, in 1898, Norton Motorcycles was facing financial troubles. The British company, which is renowned for its classic models and eclectic range of luxury motorcycles, went into administration in January 2020 as it failed to pay a large amount of tax. Also, its previous owner and CEO Stuart Garner, who acquired the company in 2008, is being investigated by the U.K.’s Pensions Regulator over actions taken when he was a trustee of three pension programs that invested in the company.
Many companies showed interest in procuring the British motorcycle brand. However, it was TVS Motor Company who sealed the deal by acquiring certain assets of Norton Motorcycles (U.K.) Limited (in administration) through one of its overseas subsidiaries.
The acquisition will bring more premium mid-capacity motorcycle opportunities for TVS Motor Company. On the other hand, Norton Motorcycles, which will continue to retain its distinctive identity with dedicated and specific business plans, will benefit from TVS’ immense global reach and supply chain capabilities to expand to new markets.
In India, Norton bikes were available via Motoroyale which is a superbike multi-brand initiative by Kinetic. Motoroyale also deals in MV Agusta, SWM, Hyosung and FB Mondial. Now, since TVS Motor Company has taken over Norton Motorcycles, it would be interesting to see how things take shape from here.