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The company, which has been struggling to make a mark in the two-wheeler business despite the acquisition of two-wheeler operations of Kinetic Motor, has decided to cut the exposure from the cut-throat mass-market category and focus on vintage brands as it takes a new look at the two-wheeler market. The strategy is similar to the one followed by homegrown Eicher Motors, which is riding high on the back of demand for Royal Enfield motorcycles. Jawa enjoys a significant history in the Indian market with the Yezdi bikes and the company will focus heavily on the domestic market with the products. On the other hand, the BSA brand will be targeted at international markets as the company expands in the segments through its subsidiary Classic Legends. There is also a legal issue that currently prevents the company from selling BSA in India. BSA Tempest (Image courtesy: bsa-regal.co.uk) The company's latest push in the premium segment comes after its two-wheeler business lost money in its current avatar, not being able to stand up to local heavyweights such as Hero Moto, Honda India, TVS and Bajaj Auto.

Mahindra had been padding up for a journey in the premium segment with a focus on international markets when it bought a 51% stake in Peugeot Motorcycles last year, which was a part of the France-based PSA Group. "We are excited about the new journey that we are embarking upon in the two-wheeler space. Our focus on the premium, niche segment through Classic Legends will bring alive some iconic brands like BSA and Jawa, not just in the form of products but as an entire life style," Pawan Goenka, Director at Mahindra & Mahindra said. To kick-start the business, Classic Legends has acquired BSA, including all its existing global brand rights. With Jawa, the company has signed an exclusive brand license agreement for India and select geographies in Asia. "Classic Legends would leverage the best global capabilities in design and engineering, along with the expertise available at Mahindra Racing's technical development centre in Italy, to design and launch products that capture the brand DNA and ethos, of these iconic brands," the company said.