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Old 4th December 2015, 14:45   #1
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Default Government considering sale of Scooters India Limited?

Scooters India, the company that made iconic products under the Lambretta / Vijai Super names may be sold off. According to the report by ET Auto, officials from the heavy industries ministry (the administrative ministry for the company), and the disinvestment department of the finance ministry are likely to meet this week to zero in on a plan for the company's future.

Talks of the selling the state-run three-wheeler manufacturer have come to light now, after a similar plan to divest the central government's majority (93.74%) stake in the company was shelved in 2011. Back then, the plan was dissolved as it faced strong opposition. Instead of being sold off in 2011, the company went on to receive a financial revival package of Rs. 202 Crore. In September 2015, it ceased to be a sick company, as its net worth turned positive, but it still has to be seen if the profitability can be sustained. An official at Scooters India said the company is making all possible efforts to ensure profitability and is considering various options, including using its land assets.

Incorporated in 1972, the Lucknow-based company has seen a decline from its golden years of the mid-1970's to the 1980's. In 1975, company started its commercial production of scooters under the brand name of Vijai Super for the domestic market and Lambretta for overseas markets. The company’s plant owes its origin to M/s. Innocenti of Italy from which it bought over the plant, machinery, design and copyrights etc. The company also holds the world right of the trade names Lambretta and Lambro.

In 1997, the company stopped making scooters, with the Vikram range of three-wheelers becoming the focus. The company currently manufactures the Vikram 450D, 410G, 600G, 750D and Vikram EV.

Government considering sale of Scooters India Limited?-1.jpg

*Image for representation only.
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Old 4th December 2015, 15:57   #2
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Default Re: Government considering sale of Scooters India Limited?

OT, That picture brings back old memories of the one we had at home. She was in cream and green combination. I say she because we even had a name for her 'Gayatri'. And for Rs 8/- we could top her up.
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Old 5th December 2015, 22:31   #3
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Default Re: Government considering sale of Scooters India Limited?

When I think back, I really regret the fact that my family doesn't have a single photograph of the 1970 Lambretta that we owned for 23 years. We did have SLR camera in the later years of Lambretta ownership, but it never occurred to us to point it towards the old faithful. It was the only vehicle my dad ever owned in his life.
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Old 6th December 2015, 10:46   #4
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Default Re: Government considering sale of Scooters India Limited?

just for my knowledge, what has it done to make it a profit making company? And government decision seem funny, they didn't insist on selling off the company when it was loss making, citing industrial dispute, and now its making money they want to hive it off? Smells fishy!!

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Old 7th December 2015, 13:32   #5
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Default Re: Government considering sale of Scooters India Limited?

Sell it off - the Government has no business making vehicles. Leave that to the pros. If Scooters India can survive on its own, good. If it can't, so be it.

When the Government can sell off its stake in a dominating player like Maruti, what's the point of owning a lousy company like Scooters India? Leave political considerations aside and make the right decision.

Ironically, the company doesn't even make scooters anymore. One look at their lame website that's 20 years too old and you know all that's wrong with the management:
Government considering sale of Scooters India Limited?-capture.png
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Old 18th October 2016, 19:11   #6
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Default Scooters India Ltd planning to review 'Lambretta' brand!

If news is to be believed, NDTV Auto reports that the government is seeking to bank on the Lambretta brand as it seeks to embark on a strategic sale of assets of the loss-making PSU, Scooters India Ltd.

It sure is a classic brand but not sure how Scooters India will handle this brand!

Further read - http://auto.ndtv.com/news/govt-seeks...from=home-auto
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Old 18th October 2016, 21:13   #7
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Default Re: Scooters India Ltd planning to review 'Lambretta' brand!

Scooters India Ltd (SIL) had bought all the rights for the use of the Lambretta brand in 1971-72, when they bought all the tools, jigs and dies from M/s Innocenti, Italy, to make the Lambretta GP 150 model as the 150 cc scooter viz. the Vijai Deluxe and later Super here. They also similarly bought rights to make the three wheeler here, that was named as Vikram. It later got the Greaves Lombardini 350 cc, two stroke diesel to power the three wheeler.

The company Innocenti used to make two, three and four wheelers (small cars) in Italy for domestic and export consumption. Rights for use of the Lambretta brand were bought by SIL and were fully vested with SIL. Scooter production under the brand Lambretta was stopped by M/s Innocenti of Italy after the sale of the brand and the rights to manufacture the Lambretta GP 150, to SIL. The reason for sale was officially put up by M/s Innocenti as reducing demand for scooters in Italy, where people were switching over from scooters to small cars.

SIL used to export Vijais as the Lambretta GP 150 to markets abroad. Its anyone's guess as to how many hundreds of such Lambrettas were exported ? At least nothing significant as far as exports were concerned was in the media. Its a foregone conclusion that maybe a few hundred such Lambrettas were exported.

Being a PSU with a laidback attitude, SIL have never used the brand name Lambretta in India. Since Vijai and Vikram were the names decided for Scooters India Ltd (SIL) products by bureaucrats, the use of Lambretta name for the domestic market would have required several file clearences by the concerned Babus. In the 1970's and 1980's, any attempt to use a foreign brand name would immediately label the particular Babu as a villian and "anti national" in the corridors of power.

Hence, SIL never asserted its rights to use brand Lambretta, though the tax-payers money was used to acquire the same. Maybe, the Babus had big pipe-dreams to export the scooters, but there was no palpable demand for the same abroad. It was also not common knowledge in the international motoring circles about the status or current ownership of the marque with SIL, due to a total lack of publicity.

SIL and the Babus have had a good sleep with the brandname all the 45 years and now they suddenly wake up to realise that someone is using the brandname (after an agreement and contract ) and is not paying SIL the due royalties as agreed upon.

The demand and the nostalgic euphoria for brand Lambretta has only surfaced during the first decade of this century, when the Britishers and Italians, after finding miniscule numbers of remaining Lambretta scooters in their respective countries cried hoarse. Their sudden craze for this brand stirred up demands to import Lambrettas and Vijais from India at dirt cheap rates (international money exchange values). This was purely owing to the sudden love and local demand in the U.K. and Italy for a yesteryear brand, that suddenly erupted and manifested in the form of thousands of imports from India into their markets. Most of these were restored in the West with costly spares and accessories and nearly all were rebadged as Lambrettas. Many of these apart from our good old Lambretta Li 150's were Digvijais, Allwyn Pushpaks, Vijai Deluxes and Supers , Aravallis, Avanti Kelvinators, Vijai Falcons and so on. Even Lambys were rebadged.

SIL was in deep slumber when all this was happening. They could have at least restarted manufacturing spares for the Vijais to cater to the domestic and export markets, if they were unable to restart production of the scooter again.

This thread below was created on 28/06/2010, when these brands started dissappearing from our cities, towns and even villages via sub-agents and agents who would connect with exporters in our Metros. The exporters in the Metros had a hotline to the West to cater to the local demands of the West.

http://www.team-bhp.com/forum/post-w...ais-shine.html (Lambretta-Vijai Racket- Exporters Make Hay While Lambrettas/Vijais Shine!!)

The government now is thinking of selling its stake in SIL at this juncture, when some private company will buy SIL , enter the scene and rake in the moolah.

Just yesterday, I tweeted to Mr Anant Geete, Minister of Heavy Industries, to at least restart manufacturing spares for Lambrettas to cater to the ever increasing craze for this brand now in India, the U.K. and Italy, apart from many other small markets abroad. But the response is anybody's guess.

Last edited by anjan_c2007 : 18th October 2016 at 21:21.
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Old 19th October 2016, 22:58   #8
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Default Re: Government considering sale of Scooters India Limited?

Quote:
Originally Posted by GTO View Post
Sell it off - the Government has no business making vehicles. Leave that to the pros. If Scooters India can survive on its own, good. If it can't, so be it.

When the Government can sell off its stake in a dominating player like Maruti, what's the point of owning a lousy company like Scooters India? Leave political considerations aside and make the right decision.

Ironically, the company doesn't even make scooters anymore. One look at their lame website that's 20 years too old and you know all that's wrong with the management:
Attachment 1447538
True GTO, it was from the era when tomato ketchups and diary products too were made by some PSU's.

In fact, the best move would have been for the then government to facilitate Automobile Products of India's (API) takeover of Innocenti brand right from the very beginning. Since API was already into making Lambrettas and had a very old link with brand Innocenti, that would have worked out well perhaps.

On the flip side, API's Bhandup plant in Mumbai was plauged with labour problems since the late 1970's, being in the Western Maharashtra belt under trade unionism at its peak then.
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Old 20th October 2016, 21:27   #9
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Default Re: Scooters India Ltd planning to review 'Lambretta' brand!

Quote:
Originally Posted by anjan_c2007 View Post
Scooters India Ltd (SIL) had bought all the rights for the use of the Lambretta brand in 1971-72, when they bought all the tools, jigs and dies from M/s Innocenti, Italy, to make the Lambretta GP 150 model as the 150 cc scooter viz. the Vijai Deluxe and later Super here. They also similarly bought rights to make the three wheeler here, that was named as Vikram. It later got the Greaves Lombardini 350 cc, two stroke diesel to power the three wheeler.

The company Innocenti used to make two, three and four wheelers (small cars) in Italy for domestic and export consumption. Rights for use of the Lambretta brand were bought by SIL and were fully vested with SIL. Scooter production under the brand Lambretta was stopped by M/s Innocenti of Italy after the sale of the brand and the rights to manufacture the Lambretta GP 150, to SIL. The reason for sale was officially put up by M/s Innocenti as reducing demand for scooters in Italy, where people were switching over from scooters to small cars.

SIL used to export Vijais as the Lambretta GP 150 to markets abroad. Its anyone's guess as to how many hundreds of such Lambrettas were exported ? At least nothing significant as far as exports were concerned was in the media. Its a foregone conclusion that maybe a few hundred such Lambrettas were exported.

Being a PSU with a laidback attitude, SIL have never used the brand name Lambretta in India. Since Vijai and Vikram were the names decided for Scooters India Ltd (SIL) products by bureaucrats, the use of Lambretta name for the domestic market would have required several file clearences by the concerned Babus. In the 1970's and 1980's, any attempt to use a foreign brand name would immediately label the particular Babu as a villian and "anti national" in the corridors of power.

Hence, SIL never asserted its rights to use brand Lambretta, though the tax-payers money was used to acquire the same. Maybe, the Babus had big pipe-dreams to export the scooters, but there was no palpable demand for the same abroad. It was also not common knowledge in the international motoring circles about the status or current ownership of the marque with SIL, due to a total lack of publicity.

SIL and the Babus have had a good sleep with the brandname all the 45 years and now they suddenly wake up to realise that someone is using the brandname (after an agreement and contract ) and is not paying SIL the due royalties as agreed upon.

The demand and the nostalgic euphoria for brand Lambretta has only surfaced during the first decade of this century, when the Britishers and Italians, after finding miniscule numbers of remaining Lambretta scooters in their respective countries cried hoarse. Their sudden craze for this brand stirred up demands to import Lambrettas and Vijais from India at dirt cheap rates (international money exchange values). This was purely owing to the sudden love and local demand in the U.K. and Italy for a yesteryear brand, that suddenly erupted and manifested in the form of thousands of imports from India into their markets. Most of these were restored in the West with costly spares and accessories and nearly all were rebadged as Lambrettas. Many of these apart from our good old Lambretta Li 150's were Digvijais, Allwyn Pushpaks, Vijai Deluxes and Supers , Aravallis, Avanti Kelvinators, Vijai Falcons and so on. Even Lambys were rebadged.

SIL was in deep slumber when all this was happening. They could have at least restarted manufacturing spares for the Vijais to cater to the domestic and export markets, if they were unable to restart production of the scooter again.

This thread below was created on 28/06/2010, when these brands started dissappearing from our cities, towns and even villages via sub-agents and agents who would connect with exporters in our Metros. The exporters in the Metros had a hotline to the West to cater to the local demands of the West.

http://www.team-bhp.com/forum/post-w...ais-shine.html (Lambretta-Vijai Racket- Exporters Make Hay While Lambrettas/Vijais Shine!!)

The government now is thinking of selling its stake in SIL at this juncture, when some private company will buy SIL , enter the scene and rake in the moolah.

Just yesterday, I tweeted to Mr Anant Geete, Minister of Heavy Industries, to at least restart manufacturing spares for Lambrettas to cater to the ever increasing craze for this brand now in India, the U.K. and Italy, apart from many other small markets abroad. But the response is anybody's guess.
Instead I hope one of the domestic majors like Bajaj or TVS 'Wake up' and smell the coffee! Retro designed scooters, lifestyle products, classic spares.....the opportunities are endless. Bajaj especially has a huge gap when it comes to a scooter portfolio (Yes, I know about Mr.Bajaj's regular whine as to how making scooters will dilute Bajaj's brand ethos and what Honda is doing is blasphemy!)

What will most probably happen is a Private Investment firm buys this, sells the 'Lambretta' brand rake in the millions and rest of it goes at scrap value.

There's a huge untouched 'classic themed' scooter market out there and no one in India has ventured into it. There's saturation in the mainstream scooter market and at some point people will ask more from their scooter.
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