Brompton Bicycle confirms first equity capital raise for 35 years from BGF
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Brompton, maker of the iconic folding bike, has partnered with BGF, one of the largest and most experienced growth capital investors in the UK and Ireland, to further accelerate its growth.
Since 1975, Brompton has been independent, owned by the founder Andrew Ritchie, the current CEO Will Butler-Adams, their friends, family, and its staff. This partnership with BGF sees it take a minority stake to support Brompton’s ambition to create urban freedom for happier lives.
“Over the last two decades, Brompton has grown organically at circa 20% a year, funded by reinvesting our profits. For the year ended March 2023, turnover grew 21% to £130m, supported by the launch of the Superlight T Line and Electric P Line products. We export 80% of our bikes to 46 countries, and in November 2022 made our one-millionth bike, a great achievement. But this is not enough, we need to move faster. The impact of Climate change is being felt by us all and the greatest carbon emissions come from our cities where most of the world’s population now lives,” said Will Butler-Adams, CEO at Brompton.
“Our team at Brompton are brimming with ideas to accelerate our growth through product innovation, storytelling, outstanding stores and having fun with our amazing community. But if we are really going to go for it, we need to strengthen our balance sheet to give us the confidence to be more ambitious.”
Daina Spedding, investor at BGF, said: “We are incredibly excited to be backing an iconic British brand that is rich in heritage and engineering prowess, with an outstanding track record of profitable, global growth. From the outset, there has been a clear synergy between Brompton and BGF, with shared long-term goals and a focus on sustainable growth that is good for both people and planet. We look forward to supporting the business as it continues to expand into new markets and invest in new technologies and manufacturing capabilities to meet ever-growing demand for its revolutionary cycling range.”