Accell Group N.V. announced that it is engaged in exclusive discussions with Raleigh Cycle Limited and its shareholders, which, if successfully concluded, could lead to the acquisition of Raleigh by Accell Group.
Accell is reportedly negotiating with Alan Finden-Crofts, who owns the largest stake of Raleigh and has a long history in Europe's bicycling industry. Raleigh is active in the bicycles market for 125 years. It operates through production and distribution companies in the UK, US and Canada along with worldwide licensing activities and a sourcing arm in Taiwan.
Raleigh is best known brands are Raleigh, Avenir and Diamondback. Raleigh has approximately 430 employees, realised sales of more than $260 million and sold approximately 850,000 bicycles in 2011.
Accell Group said will make further announcements if and when appropriate.
Accell Group is the largest bicycle supplier in the Netherlands and among the largest in Europe. In 2011, it reported sales of €628.5 million, compared with €577.2 million in 2010 and net profit of €40.3 million, compared with €36.4 million in 2010. Sales are distributed across the company’s key markets as follows: the Netherlands 34%, Germany 28% and France 9%. Other European countries, including Belgium, Denmark, Finland, Austria, Spain and the UK, account for 20% of turnover. The remaining 9% of turnover comes from countries outside Europe, including the US and Canada.
Accell Group’s best known brands are Batavus, Koga, Sparta, Winora, Hercules, Hai Bike, Ghost, Lapierre, Atala, Redline, Tunturi and XLC. The company has production facilities in the Netherlands, Germany, France, Hungary and Turkey. Accell Group shares are traded on the official market of the NYSE Euronext in Amsterdam and included in the Amsterdam Small Cap Index (AScX).
