TVS Motor Company acquires 75% stake in Swiss E-Mobility Group

TVS Motor Company, who’s portfolio of European brands including the recently acquired Norton Motorcycles and EGO Movement, have as announced the acquisition of a 75% stake in provider of e-mobility solutions within the DACH region, the Swiss E-Mobility Group (SEMG).

SEMG operate the largest pure-play e-bike retail chain M-way in Switzerland, with close to USD $100M in revenue. The company has a portfolio of Swiss mobility brands, including Cilo, Simpel, Allegro, and Zenith – Bikes. The Swiss E-Mobility Group AG was incepted as a part of the Constellation V fund in 2018, and advised by Constellation Capital AG, one of Switzerland’s leading investment firms.

By combining its extensive physical network and e-commerce platform with two online platforms and 31 physical stores, SEMG is able to deliver a seamless and world-class customer experience.

Announcing the acquisition, Mr. Venu Srinivasan, Chairman, TVS Motor Company, said, “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.”

Speaking on the occasion, Sir Ralf Speth, Chairman designate, TVS Motor Company, added, “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.”

Adding on, Mr. 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.  I’m excited to enhance the product range further and scale the company in the DACH region and beyond.  I’d like to convey my thanks to Constellation Capital and Rainer Fröhlich for this foundation which we will build on.”

TVS Motor Company is a reputed two and three-wheeler manufacturer and is the flagship company of the USD 8.5 billion TVS Group.

E-bikes are establishing themselves as the de-facto form of personal mobility in Europe due to the increased 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.

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.”

The acquisition has been made in an all-cash deal through TVS Motor’s Singapore Subsidiary, TVS Motor (Singapore) Pte Ltd.