Private equity is conquering all, and you need to look no further than Polaris's sale of its majority stake in Indian Motorcycle to California private equity firm Carolwood LP. Polaris bought Indian in 2011 and spent the last 15 years rebuilding the brand, but now that Indian has a new owner, it also had to find a new home.
Golden Valley was chosen as the new headquarters for the 125-year-old motorcycle brand. Indian signed a seven-year lease on a 37,832-square-foot property. One of the most interesting facts about the deal is that the new HQ is just 40-45 miles away from its previous headquarters, where it operated with Polaris in Medina, MN. Basically, Indian just moved up the road. Hopefully, Indian can take what it learned while being under the same roof as Polaris and continue to grow.
Before living with Polaris over the past 15 years, Indian went through decades of failed revivals, bankruptcy, and ownership changes to finally become a competitor to essentially the brand that had a monopoly in the category—Harley Davidson. It seemed Polaris knew the trick wasn't in dominating the top-of-the-range segment, but rather in the midsize cruiser category. After focusing on the midsize Indian Scout, the brand found success.
“As we begin this new chapter, we are proud to remain in Minnesota — a state that has played an important role in our journey,” said Mike Kennedy, Indian’s chief executive, in a news release.
Although the brand was originally founded in Massachusetts, Minnesota is where it found financial stability once more after years of hardship. The original Indian Motorcycle Manufacturing Company effectively became bankrupt in 1953, although the company changed hands many times, it rarely experienced prolonged periods of success.
It wasn't until 2024 that Polaris announced India's first profitable year since it bought the motorcycle manufacturer in 2011. Whether Indian Motorcycles will continue to prosper in Golden Valley under Carolwood LP remains to be seen.
