Classic Legends, a motorbike company backed by Mahindra, has decided to invest ₹1,000 Crore in next three years. This Investment is planned to enhance marketing distribution and the new product development strategies. However, the company plans to allocate 50% of the investment to the international market launch of the BSA bikes, while the remaining 50% of the investment will be used to support distribution and marketing in India.
Additionally, the company will soon launch its latest electric motorbike in the UK. Thus, this is the first investment made by Classic Legends since it planned to revive the Jawa motorbike in 2008. The funds will be taken from internal accruals, external investors and existing shareholders.
Moreover, Classic Legend is a company that was formed in 2018 with the Mahindra. The major shareholder of the Classic Legend is Mahindra, which has a majority of 60% of the shares. The remaining shares are divided between Anupam Thareja’s Phi Capital and Boman Irani, a real estate developer. The company’s main objective was to revive iconic brands, but due to the COVID-19 pandemic disruption in the supply chain, the company has to face some significant challenges.
Despite the initial struggles, the chairman of Mahindra Group, Anand Mahindra, who is in talks due to rumours of splitting the auto business, believes that the Classic Legends is an amazing product with immense potential in the market. Anand also mentioned that when selling the product, it’s essential to focus on lifestyles. He has given the example of the Scorpio launch, which eventually faced challenges, but at last, it succeeded in the market.
According to the Co-Founder of Classic Legends, Anupam Thareja, their primary goal is to make an Indian Global Company. They are selling 4,000 to 5,000 products per month, but their aim is to double it to 10,000 units by next year. They also planned to generate 20% of their sales from the exports.
