Robinsons Retail Breaks Into Motorcycle Market with P146 Million Purchase of Premiumbikes
Listed Robinsons Retail Holdings Inc. (RRHI) through its unit Robinson’s Supermarket Corp., has fully acquired Premium Corp., paving the way for firms to enter the surging motorcycle market.
The Gokongwei Group’s retail arm said in a statement on Monday, July 28, that the acquisition was done via a share purchase agreement worth P146.4 million from Lance Gokongwei after the RRHI’s board of directors gave the final nod.
The purchase price of P146.4 million was equivalent to 1.0x of Premiumbikes’ audited book value last year, entailing the 214 motorcycle retailing stores nationwide.
“This acquisition enables Robinsons Retail to enter the growing motorcycle market in the Philippines, in line with its strategy to diversify revenue streams and expand into profitable retail formats. Rising demand for motorcycles points to a promising industry outlook,” according to RRHI.
It noted that the market is “underpenetrated” or untapped as the ratio of eight people to one motorcycle is eight to one in the Philippines compared to its neighbors like four to one in Indonesia and Vietnam, and three to one in Thailand.
Premiumbikes saw net sales for the full fiscal year in 2024 of P4.17 billion, up 15.2 percent year on year. The motorcycle retail operator also had P324.2 million that same year in earnings before interest, taxes, depreciation and amortization. This was a 36.7 percent year-on-year increase from a year earlier.
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“The Philippines still has a low motorcycle penetration ratio compared to other Southeast Asian markets, which gives us a lot of room to grow,” said Joselito Pojol, general manager of Premiumbikes. “We are excited to become part of the Robinsons Retail group and look forward to bringing our stores and services to more communities across the country.”
RRHI’s recent pick up is still subject to customary closing conditions that involves regulatory clearance from the Philippine Competition Commission.
How The Philippine Motorcycle Market is Surging
Premiumbikes first set up shop in 2009 in Angeles, Pampanga before expanding its retailing network throughout provinces in Luzon, Visayas, and Mindanao.
Based on data from the Federation of Asian Motorcycle Industries (FAMI), Philippine motorcycle sales in January to May this year reached 746,016, an eight percent jump from 688,790 in the same period last year.
In May alone, there were 150,781 of these motorcycles sold, up from 144,210 in the same month a year ago.
Compared to its Southeast Asian peers, Indonesia topped motorcycle sales with 2.09 million sold in the first four months of the year. Vietnam followed with 673,055 in the first quarter.
FAMI data last year showed that motorcycle sales in the Philippines in 2024 stood at more than 1.68 million with 1.25 million bikes produced.
“This acquisition marks a key milestone for our company as we enter a new and fast-growing category that is also profitable,” said Stanley Co, president and CEO of RRHI. “This move reflects our commitment to enhancing the retail experience and providing accessible, reliable, and affordable products that meet the evolving needs of Filipino consumers.”
RRHI is a member of the Gokongwei Group, as is Summit Media, which publishes Esquire Philippines.
