Just a few days after Polaris acquired Indian Motorcycle, Polaris announced another company that will reside in its garage. Polaris will acquire Global Electric Motorcars, a subsidiary of Chrysler.
GEM, based in Fargo, North Dakota, manufacturers electric powered vehicles. Polaris now has the oldest motorcycle manufacturer in US history with Indian Motorcycle, as well as a company that is focusing solely on the future of alternative power with GEM.
"GEM provides Polaris with an established position in the low-emission small vehicle market and supports Polaris' strategy of penetrating on-road market segments poised for growth," said Scott Wine, Polaris chief executive officer. "We are excited about the outlook for growth within this market space, and are looking forward to developing even stronger growth prospects for the GEM business."
GEM was established in 1998. Since then, they have put about 45,000 electric vehicles on the road. In 2010, GEM did about $30 million worth of business.
"Our vision is to accelerate profitable sales growth for GEM, by combining Polaris' strength in new product innovation with the most-recognized brand in the low speed vehicle market space," said Mike Jonikas, vice president of the On-Road Vehicle Division. "These new product efforts for GEM will be supported by an expanded distribution presence within select domestic and international markets."
Polaris hasn't closed on GEM yet, but is expected to within the next 60 days. Polaris is currently securing state sales certificates to sell GEM products. Once that is finalized, GEM will be another company working under Polaris.
