TVS Motor Company announced on Thursday the successful acquisition of a 75 percent stake in the electric bike manufacturer Swiss E-Mobility Group (SEMG). SEMG is a market-leading provider of e-mobility solutions within the DACH region, operating the largest e-bike retail chain M-way in Switzerland with close to USD 100 million in revenue. The company’s mobility brands portfolio includes Cilo, Simpel, Allegro, and Zenith bikes. The brand retails through two online platforms and 31 physical stores.
The acquisition will provide a further boost to TVS’ expansion in Europe through a portfolio of brands that also include Norton Motorcycles and EGO Movement, which were recently acquired. The acquisition has been made in an all-cash deal through TVS Motor’s Singapore Subsidiary, TVS Motor (Singapore) Pte Ltd.
“TVS Motor has always been committed to sustainability and has been investing in electric vehicles for over 10 years. The increasing global focus on the environment and personal well-being is rapidly accelerating demand for newer mobility solutions, and TVS Motor is investing to drive this change,” Venu Srinivasan, Chairman, TVS Motor Company, said.
“TVS Motor is committed to being at the forefront of e-personal mobility globally. SEMG complements our acquisitions of Norton Motorcycles and EGO Movement and strengthens our commitment to environmental sustainability. We offer our customers a compelling portfolio of technologically advanced and environment friendly products,” Sir Ralf Speth, Chairman designate, TVS Motor Company, said.
E-bikes are growing immensely popular in Europe for personal mobility due to the ease of usage, regulatory support, and overall perception as a sustainable form of transport. With a current penetration of approximately 15% of the total bicycle population in Europe and growing at a CAGR of ~18%, the market for the e-bicycle holds significant growth potential.
Sudarshan Venu, Joint Managing Director, TVS Motor Company, said, “This acquisition furthers TVS Motor’s commitment towards e-personal mobility products. We are strengthening our presence in the rapidly growing e-bikes segment. SEMG has strong omnichannel distribution and aspirational brands, including Cilo, Simpel, and Zenith – Bikes.”
Rainer Fröhlich, Founder and Managing Partner, Constellation Capital, emphasises: “In TVS Motor, we have found the ideal and an exceptionally dynamic partner for SEMG to reinforce and expand the Group’s position as a market leader. The strategy of having a global leader like TVS as a majority shareholder not only offers untapped potential in quality assurance and procurement in the global supply chain but also lays the foundation for future expansion of the group beyond national borders.”