Indian motorcycles closes

Indian motorcycles has closed after new investment fell through and creditors pulled the plug.

The news came as a shock to those at the firm, including executive vice president Frank O’Hagan, who had returned from the Milan Motorcycle Show to be greeted by the news.

The closure of the 102-year-old company was especially surprising as Indian’s sales had grown throughout the previous year, and an extensively revised 2004 range was about to be released.

Unfortunately, with parts already ordered and a proposed deal with a new investor a few months away, Audax Indian’s main investor pulled out. The private equity firm based in Boston, Massachusetts, had invested $45 million in the motorcycle business in 2001.

Dealers were also surprised by the news as many were travelling to the Indian Motorcycle dealer show, which was supposed to take place on Sunday, September 21 in Las Vegas. Around 200 dealers in the U.S. will now be affected, particularly those who only supplied Indian products.

Indian has already risen from the grave once, after ceasing business in 1953 after 52 years of production. Now the future of the company will depend on whether Audax file for bankruptcy.

Will you be sad to see the Harley-Davidson rival disappear? Could the new Triumph Rocket III cruiser become the top competitor in the U.S.? Post your thoughts on the News message board by following the link on the right.