UK motorbike manufacturer Triumph has announced a new global partnership with India’s Bajaj Auto in a deal that will see the firms deliver a range of “outstanding mid–capacity motorcycles”.
A joint statement released by the manufacturers said the non-equity partnership would draw on the “collective strengths of both companies”.
Triumph expects the deal to allow it to significantly expand its global reach by entering new higher-volume market segments, especially within emerging markets across the world. In turn, Bajaj will gain access to the Triumph brand, enabling it to offer a wider range of motorcycles in India and abroad.
The firms said: “We hope to bring to bear upon global markets the individual strengths of the partners including brand position and perception, design and development technology, quality and cost competitiveness, and worldwide distribution.
“Triumph and Bajaj are excited by the opportunities of this partnership and the prospect of entering new market segments, thereby reaching a whole new group of motorcyclists across the world.”
Triumph announced its intention to target the Indian market in 2011, before officially launching in the country on November 28, 2013. Over the first three years the firm sold 3,500 models and established a network of 14 dealerships.
Formed in 1887, Triumph has two manufacturing sites at its UK base in Hinckley, Leicestershire. In addition, the company has three factories in Chonburi, Thailand, and one in Manaus, Brazil. It builds about 65,000 bikes a year, making it Britain’s biggest motorcycle manufacturer, and has a presence in 35 countries through its network of 700 dealers.
Bajaj Auto Ltd is the world’s third-largest motorcycle manufacturer. Based in Pune, to the south-east of Mumbai, the firm owns a 47 per cent stake in Austrian bike manufacturer KTM and has operated a successful partnership with the firm for the past decade.
According to a report by Reuters, shares in Bajaj jumped 3.2 per cent following the announcement, hitting their highest price since May 22.