Polaris Stock Surges 11% on Indian Motorcycle Business Spin-Off
Polaris Industries (PII) shares jumped 11% in extended trading after announcing the spin-off of its Indian Motorcycle division into a standalone company. The specialty vehicle Maker has agreed to sell a majority stake to private equity firm Carolwood LP, with the transaction expected to close by Q1 2026. Polaris will retain a minority equity position post-transaction.
The Indian Motorcycle unit, acquired in 2011, contributed $478 million (7% of total revenue) in the trailing twelve months. The divestiture is projected to boost Polaris' adjusted EBITDA margin. Approximately 900 employees will transition to the new entity.