Indian TVS Motor Company acquires 75% from Swiss E-Mobility Group

Picture above from left to right: Sir Ralf Speth (TVS Motor), Sudarshan Venu (TVS Motor), Sharad Mohan Mishra (TVS Motor), Reto Waeffler (SEMG), Rainer Fröhlich (CONSTELLATION CAPITAL).

TVS Motor Company of India today acquired 75% of the shares in Swiss E-Mobility Group (SEMG). 25% will remain with the CONSTELLATION V Fund, a fund advised by CONSTELLATION CAPITAL, in order to ensure a smooth transition and to be able to jointly drive forward the set growth plans. The Board of Directors will be reconstituted, there will be no changes to the rest of the organizational structure. Reto Waeffler will remain CEO of SEMG together with his proven management team. This transaction also has no impact on any other employment relationships within SEMG.

TVS Motor Company is a renowned manufacturer of motorized two- and three-wheelers and the flagship of the USD 8.5 billion TVS Group. USD valued TVS Group. The family-owned company, which is over 100 years old, is now in its fourth generation of management. SEMG is a leading provider of e-mobility solutions in the DACH region, operates m-way, the largest pure e-bike retail chain in Switzerland, and expects sales in the nearly three-digit million range for the current financial year.

Rainer Fröhlich, founder and managing partner of CONSTELLATION CAPITAL, says about the acquisition: "With TVS Motor we have found the ideal and an extremely dynamic partner for SEMG to strengthen and expand the market leadership of the group. The opportunity to have an internationally active company such as TVS Motor as a majority shareholder not only offers the possibility to tap previously untapped potential in quality assurance and procurement, but also lays the foundation for the future expansion of the Group across national borders."

Venu Srinivasan, Chairman of TVS Motor Company, points out, "TVS Motor has always been committed to sustainability and has been investing in electric vehicles for over 10 years. The increasing global focus on environmental and personal well-being issues is accelerating demand for new mobility solutions, and TVS Motor is investing to drive this change." The SEMG complements TVS Motor's recent European acquisitions of Norton Motorcycles (UK) and EGO Movement (Switzerland) and reinforces its focus on strong technology leadership, said Sir Ralf Speth, chairman-designate of TVS Motor Company.

A strong foundation to grow beyond the DACH region
Sudarshan Venu, Co-Managing Director of TVS Motor Company said, "With this acquisition, we are strengthening our presence in the fast-growing e-bike segment and driving the development of e-mobility products. SEMG has strong omnichannel distribution and emerging brands such as Cilo, Simpel and Zenith bikes. I am looking forward to further expanding the product range and growing the company in the DACH region and beyond. I would like to thank CONSTELLATION CAPITAL and Rainer Fröhlich for this strong foundation on which we will build."

Reto Waeffler, CEO of SEMG: "We are proud of the positive development of SEMG. The interest of an international strategist like TVS Motor is a recognition of the work we have done in recent years. For SEMG - and thus also for our stores and brands - having this strong partner at our side opens up completely new opportunities to implement our growth and future plans even better."

E-bikes are establishing themselves as one of the most important forms of personal mobility in Europe, as they are becoming easier to use, supported by legislators and perceived as a sustainable means of transport. With a current market penetration of approximately 15% of the total cycling population in Europe and a current growth of approximately 18%, the market for e-bikes holds significant growth potential. The acquisition was handled through TVS Motor's subsidiary in Singapore, TVS Motor (Singapore) Pte Ltd.