TVS Motor, country's fourth-largest two-wheeler maker on Friday officially announced the acquisition of Britain's legendary sporting motorcycle brand - Norton. The Chennai-based manufacturer bought the iconic Norton brand as an all-cash deal. The company will be paying Rs 153.2 crore (GBP 16 million) for acquiring assets of Norton Motorcycles through one of its overseas subsidiaries. Notably, this is the company's first-ever overseas acquisition. It is important to note that Norton Motorcycles is one of the popular motorcycle brands, which was founded by James Lansdowne Norton in 1898. BS6 TVS Radeon Motorcycle Launched in India; Prices Start at Rs 58,992.
Being one of the most emotive marques today, the brand is popularly known for their classic range of models as well as the massive lineup of luxury motorcycles. It includes retro classic Commando and contemporary 1200cc V4 super-bikes.
Commenting on the acquisition, Mr Sudarshan Venu, Joint Managing Director, TVS Motor Company said, “This is a momentous time for us at TVS Motor Company. Norton is an iconic British brand celebrated across the world, and presents us with an immense opportunity to scale globally. This transaction is in line with our effort to cater to the aspirations of discerning motorcycle customers. We will extend our full support for Norton to regain its full glory in the international motorcycle landscape.”
Mr Sudarshan Venu further added, “Norton will continue to retain its distinctive identity with dedicated and specific business plans. TVS Motor will work closely with customers and employees in building the success and pre-eminence of the Norton Motorcycles brand and we look forward to growing together globally in the years to come.”
As far as TVS Motor is concerned, the company seems to be very much exciting about the acquisition as well as the product line-up that Norton has to offer, be it the existing or upcoming ones. It includes Commando, Dominator and V4 RR. Acquiring the UK brand will leverage TVS Motor's reach in the global markets. It would also assist the company in its supply chain capabilities for expanding in the new markets.
Norton as a brand has had a troubled history wherein the company faced issues like insufficient cash flow. And, the same is believed the reason the brand failed to fulfil their order book. Additionally, the previous owner - Stuart Garner, is reportedly under investigation for several frauds. The acquisition was carried out under the guidance of financial advisors - Rothschild and Co, and legal.
(The above story first appeared on LatestLY on Apr 18, 2020 12:36 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).