Dutch bicycle maker Accell to acquire Raleigh Cycle for $100 mn

Dutch bicycle maker Accell Group NV today agreed to buy the 125-year old British bicycle brand Raleigh Cycle Limited for about €76 million ($100 million).

Nottingham, UK-based Raleigh was founded in 1887 by Sir Frank Bowden, who bought a small bike company called Woodhead, Angois and Ellis in Raleigh Street, which was then making three cycles a week.

Within three years, Bowden established Raleigh Bicycle Company and in the next three years the company became the biggest bicycle manufacturer in the world.

After a series of acquisitions in the 1930s, Raleigh's massive production continued till the 1950s and 1960s, after which the British market began to decline with the increasing popularity of the automobile.

In 1960, Investments acquired Raleigh and merged British Cycle Corporation with Raleigh to form TI- Raleigh. Although it made popular bikes like the Chopper, Grifter and Burner in the 1970s and 1980s, the company went on a decline due to poor management.

Raleigh operates through five business units, Raleigh US, Raleigh UK, Raleigh Canada, Raleigh DTC (an Asian sourcing company) and Raleigh Licensing.