TVS Motor Buys Swiss Electric Bike Firm, Boosting European Foray

TVS Motor Company acquired a majority stake in electric bike maker and retailer Swiss E-Mobility Group, as it looks to boost its foray into battery-powered vehicles and expand in Europe.

The Chennai-headquartered automaker said it bought 75% stake in the firm at 525.78 Swiss Francs per share, valuing the deal at around $100 million, or Rs 750 crore.

The transaction was an all-cash deal through TVS Motor’s Singapore Subsidiary, TVS Motor (Singapore) Pte Ltd. It plans to acquire the remaining stake by next year.

This is TVS Motor’s third such deal in as many years. It bought U.K.-based Norton Motorcycles in April 2020 and Switzerland’s EGO Movement in September last year.

“This acquisition furthers TVS Motor’s commitment towards e-personal mobility products”, said Sudarshan Venu, Joint Managing Director, TVS Motor Co., was quoted as saying in a statement.

SEMG purchases and resells its own and third-party electric bikes and spare parts through its retail and online stores in Switzerland and Germany with revenue of nearly $100 million.

The company’s portfolio comprises Cilo, Simpel, Allegro and Zenith bike brands. It has 31 physical stores and network and an e-commerce platform.

Electric bikes, the TVS statement said, has a penetration of nearly 15% of the total bicycle population in Europe, with the segment growing at an annualised rate of around 18%.

“SEMG complements our acquisitions of Norton Motorcycles and EGO Movement and strengthens our commitment to environmental sustainability,” Ralf Speth, chairman designate of TVS Motor, was quoted as saying.