[AMCN] Administrators Optimistic About Future of Peter Stevens Motorcycles

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Efforts underway to sell or recapitalise iconic Aussie motorcycle retailer as business operations continue

The administrators handling the collapse of long-standing motorcycle retail chain Peter Stevens remain confident that the business can be salvaged, as efforts to find a buyer or investor move forward.

Administration firm KordaMentha, which took control of the company earlier this week, confirmed that operations will continue while they seek expressions of interest for either a sale or recapitalisation of the business.

In a statement, KordaMentha said, “The administrators intend to continue to operate the companies on a business-as-usual basis while they seek immediate expressions of interest for the sale or recapitalisation of the businesses.”

Peter Stevens Motorcycles, operating for over five decades, entered voluntary administration on Monday—putting up to 400 jobs across its national network at risk. The retailer has long held a dominant presence in the Australian motorcycle market through a network of dealerships across multiple states.

Administrator Craig Shepard believes a buyer is likely to emerge given the company’s strong foundations. “With more than 50 years of brand recognition, an established dealer footprint across the country and a significant share of the local motorcycle market, there is a genuine turnaround opportunity here,” Shepard said. “These are strong foundations for a new owner to set the business up for future success.”

While administrators are hopeful, industry-wide challenges have contributed to the current retail environment. The Federal Chamber of Automotive Industries (FCAI) reports that overall motorcycle sales have declined 3.5 per cent in the first quarter of 2024, compared to the same period last year—highlighting growing pressure on discretionary spending.

“Motorcycles are often a discretionary purchase, and in the current environment of high living costs and interest rates, many Australians are understandably more cautious with their spending,” said FCAI chief executive Tony Weber said in April. “While there is a slight softening across all categories in the wake of current economic conditions, we expect to see enthusiasm among Australian riders to return as conditions stabilise and maybe ease.”

Peter Stevens is the latest major name to succumb to the financial squeeze caused by rising living costs, joining other closures across Australia’s retail and building sectors. The situation now remains in the hands of administrators, who hope the company’s legacy and market position will be enough to attract a buyer and secure the future of one of the country’s best-known motorcycle retailers.

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