TVS Motor snaps 5-day losing run; stock rises 2% on Italy design firm acquisition

Shares of TVS Motor Company Ltd rose 2 per cent in Friday’s trade, snapping a five-day losing streak after the company announced the acquisition of Italian automotive design firm Engines Engineering S.p.A. to set up a Global Centre of Excellence (CoE) for Design and Engineering in Bologna, Italy.

On Friday, TVS shares climbed as much as 2.1 per cent to touch a day’s high of Rs 3,479.55 on the BSE, up from Thursday’s close of Rs 3,406.05. By 9:42 am, the stock was trading 0.32 per cent higher at Rs 3,416.90, giving the company a market capitalisation of Rs 1.62 lakh crore. The stock is 57 per cent above its 52-week low of Rs 2,170.05

In a stock exchange filing, TVS Motor said its Singapore arm has agreed to acquire 1 million equity shares of Engines Engineering S.p.A from ACT S.r.l at a value consideration of €5.05 per share, aggregating to €5.05 million. The acquisition, scheduled to be completed by October 1, will make Engines Engineering a wholly owned subsidiary of the company

Engines Engineering, founded in 2008 and headquartered in Bologna, is known for its expertise in styling, prototyping, and developing high-performance two- and three-wheelers. It reported revenues of €11.28 million in 2024, nearly doubling from €5.53 million in 2023

Commenting on the development, Sudarshan Venu, Chairman of TVS Motor Company, said: “The establishment of the new Italian Global Centre of Excellence marks another milestone in strengthening our capabilities and accelerating our journey to reimagine mobility. By combining the creativity and racing expertise of Engines Engineering with our engineering and design strengths, we are expanding our ability to deliver premium, connected, and electric vehicles that set new global benchmarks.”

The CoE will serve as an end-to-end innovation hub, integrating TVS Motor’s R&D with Engines Engineering’s racing and prototyping strengths. The company said the initiative will not only enhance its premium product pipeline but also bolster Norton Motorcycles, its British marquee brand, as it pushes deeper into the modern luxury motorcycle segment