Mahindra Acquires BSA Motorcycles for Rs. 28 Crore

Classis Legends Pvt. Ltd., a subsidiary of Mahindra and Mahindra Ltd., has acquired a 100% stake in BSA Company Limited for a reported amount of 34 lakh Pounds, which equates to Rs. 28 Crore. The automaker has long been planning this acquisition as previous reports had suggested the automaker's intentions to buy two British motorcycling brands: BSA and Norton.

The aforementioned transaction involves 1.2 lakh shares of BSA. Through the said acquisition, CLPL has obtained the license of the BSA brand, which can now be used by the automaker for selling, marketing and distributing motorcycles throughout the globe.

BSA (Birmingham Small Arms) Company Limited started its manufacturing operations in 1910. The company was once the biggest two-wheeler manufacturer in the world. BSA also bought Triumph Motorcycles in 1951. However, lack of any new products resulted in a steep decline in sales in the early 1960s. The manufacturer never managed to overcome this sales drop.

Interestingly, Mahindra had also acquired Peugeot Motorcycles, another European motorcycle firm, last year. Mahindra Group's IT subsidiary, Tech Mahindra, also has a controlling stake in Pininfarina, an Italian automotive design firm. SsangYong also operates under the Mahindra Group's umbrella. The company is also betting big on electric mobility, as it had acquired REVA, which is now called Mahindra Electric.

Source: Car and Bike