London folding bike manufacturer Brompton has sold a stake in its business to the sports retailer Decathlon, as it aims to accelerate into overseas markets.
Chinese venture capital firm BA Capital, which was an early backer of viral soft toy brand Labubu and has investments in Pop Mart, has also acquired a small shareholding in the company.
Decathlon has acquired a 10 per cent stake in the business through its investment arm, Decathlon Pulse, and BA Capital has acquired 5 per cent.
The deal is understood to collectively be worth about £18 million.
Brompton is renowned for its range of compact bicycles, designed to fold into three parts for lightweight portability, making them a popular choice for commuters and urban dwellers.
The company has recently diversified its offerings with a line of electric bikes, which are reportedly driving growth across Europe and North America.
Brompton bikes are priced from £999, with the ultralight titanium e-bike reaching up to £5,799.
The company was founded in London in 1975 and has factories in west London and Sheffield, with around 70 per cent of production exported to markets around the world.
Decathlon Pulse said it intends to back Brompton’s next phase of expansion, including accelerating into growth markets like Germany and China, while preserving the “Handmade in London” heritage.
Selected Brompton models will be sold in dedicated spaces in some Decathlon stores.
BA Capital said the Chinese market is increasingly driven by demand for experiences and health and outdoor lifestyles are becoming more important.
Brompton chief executive Will Butler-Adams said: “For over 50 years, Brompton has been dedicated to helping people move around cities in a way that is simpler, more flexible and more enjoyable.
“As demand for smarter and more sustainable urban transport continues to grow, we see a tremendous opportunity ahead.
“Decathlon Pulse and BA Capital bring complementary expertise, global networks and a shared belief in our mission.”
Michael Zang, managing partner of BA Capital, said: “The rise of experience-driven consumption is reshaping China’s consumer market.
“As health awareness grows and outdoor lifestyles gain momentum, cycling is expanding beyond sport into everyday occasions such as commuting, travel, and social activities.”
