Create a free Manufacturing.net account to continue

Dutch Bicycle Giants Consider $900M Merger

Pon Holdings' bid for Accell Group would create the world's largest bicycle company.

A Dutch conglomerate recently floated a bid to create what would be the world's largest bicycle company.

Pon Holdings, which owns seven bicycle brands — including Union, Santa Cruz and Gazelle — in addition to its vehicle and equipment activities, proposed adding Dutch rival Accell Group to its bicycle operations.

The offer of about $35 per share would translate to an overall price of nearly $900 million, The Wall Street Journal reported.

Pon officials said that combining its bicycle operations with Accell — which includes the Raleigh and Diamondback brands in the U.S. — would be "an excellent strategic fit."

"The combination results in the world’s leading global bicycle company, with headquarters in the Netherlands and with sufficient scale to be the long-term winner in the industry," Pon said in a statement.

Accell officials confirmed talks with Pon.