The sale of Raleigh to the Accell Group of the Netherlands, mooted at the beginning of April, has now been completed.
Accell Group valued Raleigh at €76 million ($100 million). The acquisition price for the Raleigh shares was approximately €60 million.
The sale is still subject to approval of the German competition authorities and is expected to occur at the end of May.
René Takens, Chief Executive Officer of Accell Group said: “We are very pleased with the acquisition of Raleigh, another milestone for our company. Acquiring Raleigh adds a strong traditional and global brand with a rich heritage to our brand portfolio and with the Diamondback brand we strengthen our position in the mountain bike and BMX segment. We also strengthen our position in bicycle parts and accessories in North America and the United Kingdom improving Accell Group’s global competitiveness in this field."
He added: "We have great confidence in Raleigh’s management team and will fully support future growth of Raleigh within our group.”
Alan Finden - Crofts, Chief Executive Officer of Raleigh Cycle said: “I am delighted with the conclusion of the sale of Raleigh to Accell Group. As talks progressed with the various interested parties earlier this year, Accell Group emerged as the clear preferred buyer for the business, given the highly complementary product range and geographic presence of the two businesses.
"I am entirely confident that Raleigh has found the ideal buyer to support the employees, customers, suppliers and the future growth of the business.”
Raleigh’s management team is expected to stay after the acquisition. Finden-Crofts will remain as an advisor for at least another six months.
Raleigh CEO, Alan Finden-Crofts