Polaris, a specialist in power-sports vehicles, is to separate its Indian Motorcycle unit into an independent entity, selling a majority stake in the business to private equity firm Carolwood LP, according to a report by Reuters.
The move is projected to add $50m in annual adjusted EBITDA and roughly $1 per share to adjusted earnings. Polaris anticipates closing the transaction in Q1 2026.
Carolwood has tapped Mike Kennedy as incoming CEO of the standalone business. Kennedy previously held senior roles at Harley-Davidson and ran powersports and aftermarket businesses.
Indian Motorcycle – acquired by Polaris in 2011 – accounted for about $478m, or 7%, of Polaris’ revenues in the 12 month period up to 30 June.
Polaris now expects third-quarter sales to be at the high end of its earlier forecast range of $1.6bn to $1.8bn, with an adjusted per-share profit of 31 cents to 41 cents.
