TVS Motor has clinched a $20 million (~Rs 153 Crore) deal to buy British brand Norton Motorcycles. The move now becomes the latest acquisition of a British auto manufacturer by an Indian entity, after Tata Motors acquired Jaguar Land Rover more than a decade earlier.
As part of a distressed sale, India¡¯s third-largest motorbike manufacturer completed an all-cash transaction for the acquisition. As announced on Friday, TVS Motor will take control of the 122-year-old Leicestershire brand ¡®Norton Motorcycles¡¯ for 16 million pounds ($19.98 million) through one of its overseas subsidiaries.
¡°Norton presents us with an immense opportunity to scale globally,¡± TVS¡¯ joint managing director Sudarshan Venu was quoted as saying in a Reuters report. Venu further assured that TVS Motor would provide ¡°full support for Norton to regain its full glory.¡±
Going forward, TVS Motor will invest in Norton¡¯s lineup of motorcycles. The selective ones, of course, that will see the rekindled investment will likely by the most famous models like Commando, Dominator and V4 RR.
As per Venu, TVS will also work closely with Norton¡¯s employees and customers to retain its identity. In addition, the motorcycle major will outline a specific business plan for the British firm.
Discussions for the takeover had begun earlier this year between TVS and accountancy firm BDO - which acted as Norton¡¯s administrator. This was after the British motorcycle maker, founded by James Lansdowne Norton in 1898, became insolvent and went under administration.