Stephen Julius, Chairman of Indian Motorcycle, says the company recently executed a capital increase of $30 million in order to fund the re-launch of the historic brand.
Julius is head of Stellican Limited, the London-based private equity firm that acquired the trademarks and related intellectual property of Indian Motorcycle Company in July 2004, following Stellican's successful re-launch of Chris-Craft boats.
“This capital increase is a clear demonstration of our significant commitment to the successful future of Indian Motorcycle,” Julius said in a release announcing the deal, terms of which he did not supply. “(The $30 million) ensures that the company has the proper financial foundation. However, the success of Indian Motorcycle will not be based on capital alone. Recruiting a world-class management team and following the appropriate business strategy are paramount.”
While the funding may assist Julius' two-year-old business plan to move forward, the company recently hit a bump in the road when Indian Motorcycle President David Wright resigned August 25.
“We wish David every success in his new venture and thank him for his contribution to the company,” said Julius, who stressed that there would be absolutely no change to the direction and plans for the company following Wright's departure.
Steve Heese, president of another Stellican Investment, Chris-Craft Corporation, has taken over as interim president of Indian Motorcycle. Still, the search is out for “a seasoned motorcycle executive” to serve as a general manager.
Geoff Burgess continues as Vice President of Product Development and Engineering.
Indian's new headquarters property in Kings Mountain, N.C., located 35 miles west of downtown Charlotte, includes 11 acres and a 40,000 sq.-ft. manufacturing facility that allows for a 125,000 sq.-ft. expansion.
Copyright 2006 Powersports Business