The new ‘biggest company’ in global cycling
Up until the 18th October 2021, PON Holdings was already a leviathan company in the global cycling industry, owning brands including; Gazelle, Cervélo, FOCUS, Santa Cruz, Kalkhoff, and Urban Arrow - some of the most famous and respected brands in cycling making it one of the top five largest companies in the cycling industry. Yet the conglomerate has grown in the last month to become arguably the largest when it signed a deal with US-based Dorel Industries – to acquire their cycling brand portfolio; a tranche of A list bicycle companies including; Cannondale, GT Bicycles, Mongoose, Schwinn, Charge Bikes and Brazilian brand Caloi – giving PON Holdings a useful footing in the lucrative South American market.
PON Holdings recently divested itself of its 20 percent share of Dutch-based ACCELL Group, bolstering its coffers, freeing it up to make pay $810 Million (US) dollars, cash for the Dorel Sports Division brands, in what was seen as a value deal by cycling industry analysts.
Described by PON Holdings, as the ‘next logical step’ in the growth of PON holdings, the future of each of the newly acquired brands is said to be secure, with each complementing each other and fulfilling specific market roles.
“The future (for PON) is electric…”
PON Holdings CEO Janus Smalbraak says: “Today’s step is a milestone in the creation of a world-leading bike company with a variety of quality brands. With the acquisition of Gazelle in 2012 we launched a strategy that step by step led us to the 1.5 billion in revenue bike group that we are today, with great comfort and performance bicycle brands, of which 70% are electric. As a result of this strategy, we have now reached a highlight with the acquisition of Dorel Sports.”