Polaris sells majority stake in Indian Motorcycles to Carolwood LP

Polaris Inc. has announced plans to separate Indian Motorcycle into a standalone company, selling a majority stake to private equity firm Carolwood LP. The move is aimed at sharpening Polaris’ strategic focus and accelerating profitable growth in its core businesses.

According to Polaris, Indian Motorcycle generated approximately $478 million, which accounts for around 7 percent of Polaris’ total sales last year. When the sale is completed (likely by early 2026), it’s expected to actually improve Polaris’ profits by adding roughly $50 million to its yearly earnings and approximately $1 per share for investors. Polaris has owned 124-year-old Indian Motorcycles since 2011 and will continue to own a small part of Indian Motorcycle even after selling most of it.

 

Once the transaction closes, Mike Kennedy, a veteran of the motorcycle industry with past leadership roles at Harley-Davidson, Vance & Hines and RumbleOn, will become CEO of Indian Motorcycle. Roughly 900 employees will transition to the new entity, along with manufacturing facilities in Spirit Lake (Iowa), Monticello (Minnesota), and the design and technology centre in Burgdorf, Switzerland. Polaris states that Indian Motorcycle will continue to operate independently, maintaining its global dealer network and after-sales support for customers and partners.

 

Carolwood LP’s principal Andrew Shanfeld said the firm aims to build upon Indian Motorcycle’s “American heritage, craftsmanship and rider community” as it begins its next chapter as an independent brand.

 

After the sale is finalised, Indian Motorcycle is expected to operate independently of Polaris and continue selling motorcycles, parts, garments, accessories, and providing service through its global dealer network.

As part of the transition, Mike Dougherty, Polaris’ president of On-Road and International, will oversee Indian Motorcycle until the sale is finalised and then retire after nearly 28 years with the company. 

 

Currently, there is no word on what this will mean for the Indian market. We reached out to the company for a statement on the India-market operations, but they declined to comment at this time. A press release confirming these details should be rolled out in the near future.