Look Cycle: Capital Needed for Ambitious Growth Plan
NEVERS, France – Look Cycle wants to double its annual sales to around €100 million in the coming years by widening its existing bicycle product range as well as through acquisitions and by diversifying into other sectors like tennis and/or golf equipment.
According to a report by the sporting goods sector’s trade journal ‘Sporting Goods Intelligence’, Look Cycle wants to raise more capital to reach its ambitious growth plan. The company has mandated a financial adviser, Bryan Garnier, for that. Look Cycle’s main growth markets are the USA and Asia.
Open for offers
Already four or five interested investors called upon Look Cycle’s financial adviser, said a company executive. However, the manufacturer of premium sports bikes, (carbon) frames, pedals, cleats and accessories is still open for other offers. The Look Cycle executive said the company’s shareholders are also contemplating an equity increase as an alternative.
Stop selling Sunn MTB
Sunn MTBs are no longer sold by Look Cycle as this brand was bankrupted recently. Look Cycle was Sunn’s global agent although their main business was concentrated in France and the French speaking countries.
SGI further notes that Look Cycle’s 2012 revenues amounted €44 million on which the company generated a net profit margin of 5%. For 2013 sales of €45 million are budgeted.