Engineering group revs up for growth after Italian deal
ENGINEERING consultancy Ricardo has increased its presence in the European motorcycling sector with a new acquisition.
The company, which has a major testing centre in Leamington Spa, has signed a deal to acquire the entire share capital of the Italian motorcycle, urban mobility and industrial design and engineering business, Motorcycle Engineering Italia.
The deal comprises the entire business, operating assets and employees of Exnovo.
The company said the deal marked a continuation of a relationship that has existed between Ricardo and Exnovo since February 2014 when the two parties signed a Memorandum of Understanding to jointly collaborate in pursuing major motorcycle business opportunities.
Ricardo said in a statement to the London Stock Exchange: “This acquisition will significantly expand Ricardo’s full product development capability in the rapidly growing scooter, motorcycle and urban mobility market and will form part of the Ricardo Motorcycle business upon completion.”
The deal, for an undisclosed sum, is expected to complete on or before July 31, 2016.
Based in Coriano, Exnovo has a strong history of working with motorcycle OEMs on a range of scooter and motorcycle projects. The business has specialist styling, design, chassis, vehicle, electrical and prototype build expertise. It also brings complementary customer relationships in Asia, Central and Southern Europe.
The business has 35 employees and revenue of circa €3.0m. The management team are all staying with the business.
Commenting on the deal, Dave Shemmans, CEO of Ricardo, said: “Exnovo has a well-established market reputation which, when combined with Ricardo Motorcycle, will enable the Ricardo business to further enhance its position as a truly global development partner to motorcycle OEMs around the world. It will also add valuable industrial design and urban mobility capability to the group.”
