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Old 17th November 2020, 15:05   #1
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Default UK: Mahindra-owned BSA to build electric bikes from 2021

According to a media report, Mahindra-owned British motorcycle brand BSA plans to start assembling electric bikes from 2021.

UK: Mahindra-owned BSA to build electric bikes from 2021-bsa.jpg

Backed by Anand Mahindra, chairman of the Mahindra Group, the BSA Company will restart production at its Midlands factory by mid-2021. Initially, the brand will introduce conventional IC engine powered models.

The report states that the BSA Company will be building a research facility in Banbury to develop electric motorcycle technology. The first electric model will be launched by the end of next year.

Birmingham Small Arms (BSA) was founded in 1861 as a manufacturer of guns. The brand later started building bicycles and motorcycles. By the 1950s, BSA was the largest motorcycle brand in the world, before it went bankrupt in the 1970s. In 2016, the brand was acquired by Classic Legends, a subsidiary of Mahindra and Mahindra Ltd.

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Old 17th November 2020, 15:41   #2
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Default Re: UK: Mahindra-owned BSA to build electric bikes from 2021

I'd be really happy to be proven wrong, but this too sounds like another rushed half-baked experimental effort, just like they have under-utilized Ssangyong, Pininfarina, and others.
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Old 17th November 2020, 16:14   #3
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Default Re: UK: Mahindra-owned BSA to build electric bikes from 2021

Really immensely cruel to petrolheads to speak about electric bikes and use the photo of the iconic BSA Goldstar from the golden age of British motorcycling.

Cheers, Doc
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Old 17th November 2020, 17:35   #4
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Default Re: UK: Mahindra-owned BSA to build electric bikes from 2021

Another hare brained idea. 2nd motorcycle brand they are in the process of ruining.
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Old 17th November 2020, 17:57   #5
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Default Re: UK: Mahindra-owned BSA to build electric bikes from 2021

Dear Anand Mahindra, it's OK even if you launch it in the year 2025, but kindly make sure that the JAWA saga doesn't repeat with BSA as well.

Don't kill two classics at a time!

Put some more effort on the JAWA please, revive one brand properly first.
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Old 17th November 2020, 19:02   #6
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Default Re: UK: Mahindra-owned BSA to build electric bikes from 2021

Might sound OT.

But why aren't the Classic Legends bike called JAW"O" | PERAK"O"..??

The BSA is sure to be called the ELECTR"O".
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Old 17th November 2020, 21:30   #7
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Default Re: UK: Mahindra-owned BSA to build electric bikes from 2021

what???

why??

it makes no sense at all for Mahindra to do this.

no chance of seeing a medium capacity motorcycle from BSA now.

atleast i did not have any great expectations from this venture.
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Old 17th November 2020, 22:47   #8
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Default Re: UK: Mahindra-owned BSA to build electric bikes from 2021

Why can't they do one thing properly instead of sticking their fingers everywhere?

Mojo was a decent product let down by lackluster dealership experiences and support.
Same saga is now evident with Jawa. Hurried launch without any dealerships. Their dismal sales volumes tell the story.

Jawa currently has only one engine and platform, with a sales/service network which is far less than RE. Why don't they invest in that brand properly before going for BSA? And there was also a recent story about Peugeot scooters.

I'm not sure if they have one person to oversee all 2-wheeler operations, across their various brands. But if they don't, they better appoint someone to put things in order.
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Old 18th November 2020, 20:07   #9
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Default Re: UK: Mahindra-owned BSA to build electric bikes from 2021

Mahindra BSA Question Paper - Semester I

Q1) Why
Ans: Simply because everyone wants the sales and profit margins Royal Enfield enjoys. i.e Mahindra wants to do a Bullet!

Q2) Why BSA and why not Jawa?
Ans: Well not many know Jawa in the western hemisphere. Some die hard motorcycle aficionado might, but to the rest of the population a Jawa motorcycle is as familiar as a ZŁndapp is in India. Zun kya? Exactly.

Q3) Ah ok, so a BSA motorcycle is popular in the UK then?
Ans: Well that is a trick question!
BSA ceased making motorcycles in the early 70s, that is almost 50 years...a looong time. So people who were familiar with the brand, or drooled after BSAs in their teens are now north of 60-70 years old! Or perhaps their kids might recall their Dads owning them, but that is a very miniscule niche as well. That too if you find someone that is longing for this, is he looking for a battery powered BSA?

In comparison, Jawa/Yezdi on the other hand were sold till the mid 90s in India, so there is strong brand recall.

Q4) If Enfield can do it, why not Mahindra?
Ans: A strong domestic market = Volumes & financial prowess. This Enfield has. On the other hand M&Ms two wheeler business has neither. The real last sales hit the Indore factory had was a model called 'Kinetic Honda' decades ago. If M&M was looking to reincarnate a retro two wheeler, this would be it!

Back to topic, RE can work on their exports and International markets, because they have a strong domestic presence. Volumes enable their bikes to be priced very competitively as well as generate profits that can be invested to expand to new markets.

Q5) Why make BSAs in the UK?
Ans: Primarily, Money I suppose.
'The UK government has awarded the BSA Company a £4.6million grant to develop electric bikes, in the hope of creating at least 255 jobs in and around Oxfordshire.'

A massive advantage is that the Rishi Sunak finance ministry is very very generous, plenty of grants, cheap loans, so there is a lot of capital available for anyone willing to take a bite.

Second, I presume the marketing dept. convinced whosoever that this is needed for authenticity. From what I can see this is not needed, the Brits like most of Europe have moved passed this long ago. Triumphs are made in Thailand, and there isn't a bigger British motorcycle brand than Triumph. Another case study was when the chinese tried to do a similar stunt to assemble MGs in the UK, did not last a year and wound up operations to focus on fully importing from China.

Q6) Any risks in making in the UK?
Ans: If the Brexit negotiations go belly up (heading in that direction), UK will end up trading with all nations under WTO rules and re-draw trade deals with almost every country out there. So exports could be a challenge. Or maybe like the Jawa in India, there will be a 2 year waiting period in the UK alone! Perhaps M&M know something we do not.
Then UK does not have a big two wheeler industry and the related supply chain. Production costs in terms of utilities, labour etc are not cheap either.

Q7) Final question, will this be a success?
Ans: Out of syllabus!
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Old 21st November 2020, 09:22   #10
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Default Re: UK: Mahindra-owned BSA to build electric bikes from 2021

Mahindra has put Classic Legends on the block for sale together with 9 other units. The 10 units identified by M&M include cleantech firm Mahindra Susten, diesel generator maker Mahindra Powerol, electrical steel processor Mahindra Accelo, supply-chain consultant Bristlecone, Classic Legends Pvt. Ltd, the maker of Jawa Motorcycles; Mahindra Electric Mobility, the maker of the electric vehicles; and used-car seller First Choice Wheels are also among the 10 companies that will sell shares to the public for the first time.


https://www.livemint.com/companies/n...744397957.html
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Old 21st November 2020, 13:20   #11
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Default Re: UK: Mahindra-owned BSA to build electric bikes from 2021

Quote:
Originally Posted by Sran View Post
Mahindra has put Classic Legends on the block for sale together with 9 other units.
When you say "on the block", it normally means a complete exit or reduce stake to a minority. Share sale through IPO is a share sale of much smaller quantum in common parlance. Same sale of shares in both cases, but the quantum and intent is very different end of spectrum.
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Old 21st November 2020, 23:14   #12
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Default Re: UK: Mahindra-owned BSA to build electric bikes from 2021

Personally, I believe this is a good step forward to get the early mover advantage. I've always admired M&M to take risks - some click and some don't but they are showing their commitment and flexing their capability. Wishing them all the very best.
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