- TVS, the Indian Motorcycles company that acquired Norton Motorcycles in April 2020, has opened a new headquarter in Solihull, United Kingdom.
- Norton was incurring huge losses and the operations of the company had become unsustainable; the management decided to sell it and TVS acquired the company in an all-cash deal.
- The iconic brand has established a cult status among followers, just like Harley-Davidson in the United States, Ducati in Europe, and Yamaha, Honda in Japan.
- Through the acquisition of Norton Motorcycles, TVS Motor Company will try to repeat the story of Royal Enfield-Eicher Motors.
TVS, the Indian Motorcycles company that acquired Norton Motorcycles in April 2020, has opened a new headquarter in Solihull, United Kingdom. The company has established a world-class manufacturing facility in Solihull and plans to produce 8,000 units per year.
Sudarshan Venu, joint managing director, TVS Motor Company, said, “The opening of the new headquarters represents a significant step forward for Norton Motorcycles and is a proud moment for everyone. We are creating the foundations for a sustainable long-term future for the Norton marque.”
“We are setting out to create a bold future for the company, our employees, our customers and our partners that lives up to the highest expectations, enabling Norton to once again become the real global force its legacy deserves,” he added.
TVS acquired Norton Motorcycles, the iconic British Motorcycles brand found in the late 19th century, almost one and a half years ago. Norton was incurring huge losses and the operations of the company had become unsustainable; the management decided to sell it and TVS acquired the company in an all-cash deal. Within the last 18 months, TVS has revied the manufacturing facility and has opened a new headquarters. From the next year, it will be manufacturing 8,000 units per year.
Robert Hentschel, CEO, Norton Motorcycles, said, “The new Norton Motorcycles headquarters is a true embodiment of this iconic British marque. The facility is home to design, engineering, purchasing, sales, marketing, and support departments, as well as the highly skilled production team overseeing the build of our new generation of motorcycles. It is the perfect platform to re-energise our business as we lead the Norton brand to onward success where it will play a key role in the future of mobility.”
Norton is the second established motorcycle brand being acquired by an Indian company. Before this, Eicher Motors acquired the Indian business of Enfield Motorcycles and today Royal Enfield is among the most successful motorcycle companies in the world.
The Royal Enfield brand was established in Britain back in 1901 but the parent company ceased to exist in the 1970s. The ownership of the Indian unit was purchased by Eicher Motors in 1994 and the company has successfully reestablished its brand value and market presence in the last two and a half decades.
Today it is among the most successful brands in mid-size motorcycles in India and is now expanding on the global stage. The sales in Southeast Asian and Latin American nations have gone up exponentially in the last few years and encouraged by this, the company is setting up manufacturing units in those regions. Firstly the company established a manufacturing unit in Argentina to cater to the Latin American market and now a second overseas factory is being established in Thailand.
The iconic brand has established a cult status among followers, just like Harley-Davidson in the United States, Ducati in Europe, and Yamaha, Honda in Japan. However, the popular European, American, and Japanese players have not been able to satisfy the demand of the developing nations, where people want good products at cheaper prices.
Through the acquisition of Norton Motorcycles, TVS Motor Company will try to repeat the story of Royal Enfield-Eicher Motors. The Indian two-wheeler market is growing exponentially since the last two years and with the entry of new players, the prospects of domestic consumption as well as an export are very high. In the next few years, TVS may write another turnaround story just like Royal Enfield.
