Atlas Cycles (Haryana) Ltd is a bicycle maker with a 70-year history, tracing its roots to 1950 and carrying the tagline “TRUSTED SINCE 1951”. It once called itself one of the world’s largest cycle manufacturers, but a long-running feud between promoter families - culminating in a tribunal order that replaced the entire board in December 2022 - shut its operations completely and eroded its net worth. The recurring approach that now defines the company is a fight for survival: it is selling its factory land to settle old debts and fund a revival, while trying to restart bicycle production from a single, under-used plant. # Business segments Two engines at different stages - a legacy bicycle business running far below its potential, and a land-monetisation exercise that is currently keeping the company alive - both shaped by the same balance-sheet repair. ## 1. Bicycle manufacturing: the brand that still carries the name **The company makes and sells bicycles - roadsters, fancy cycles and kids’ cycles - but its factories are either closed or running well below capacity, so this engine is barely firing.** - **A full range, but roadsters dominate** - the product line covers roadsters, fancy cycles with disc brakes and gears, and kids’ cycles; roadsters make up roughly 55% of industry sales, fancy cycles about 25% and kids’ cycles around 20%. Fancy and kids’ segments are growing at 7-8% a year, driven by metro and mini-metro buyers, so the company is concentrating its research on fancy models to match what young customers want. - **A recognised R&D centre, but little to show for it** - the company has a research and development centre recognised by the Government of India, which works on new models and upgrades. It has introduced new fancy bicycles aimed at market trends, yet the Sahibabad unit is working at “much below optimum level” and the Sonepat unit is closed, so production is a fraction of what the infrastructure could handle. - **A strong dealer network that is waiting for product** - the company has a PAN-India dealer network and a defined credit period for trade receivables, and it sells to both Indian and international markets through a General Manager for Exports. But with only 14 permanent employees as of March 2025, down from 21 two years earlier, the sales machinery has little to push. - **Cheap, unorganised rivals are a constant threat** - many small manufacturers with no quality control and low overheads supply bicycles at much cheaper rates than the organised sector, which the company calls a “great threat”. That price gap makes it hard for a branded player with legacy costs to compete, especially when its own factories are barely running. - **Raw materials are all local, but prices are out of its hands** - key inputs are sheets, strips, tyres, tubes and related chemicals, all sourced indigenously with no imports during FY24. Their prices are governed by external forces including international market trends, so the company has no pricing power on the input side either. ## 2. Land monetisation: the real engine keeping the lights on **The company is selling its factory land - not bicycles - to pay off old liabilities and generate working capital for a revival that has not yet materialised.** - **Twenty acres on the block** - the Board approved the sale of 20 acres of the Sonepat unit’s land through a Capital Assets Sale Committee at the best available market price, specifically to discharge outstanding liabilities and generate working capital for revival. An agreement to sell that land was signed on 7 December 2024, and the company had received Rs. 30 crore in tranches with another Rs. 30 crore due by March 2026. - **An earlier land sale already cleared 37 cases** - the company previously sold 5.69 acres of surplus, non-productive land at Atlas Road, Sonepat, receiving roughly Rs. 46.69 crore, which was used to settle 37 insolvency and civil matters and other statutory liabilities. That is how the company has been chipping away at its legal and financial overhang. - **Surplus machinery is also being sold** - the Board approved the sale of surplus machinery through the same Capital Assets Sale Committee to discharge urgent liabilities, so the asset-stripping extends beyond land. This means the company is shrinking its manufacturing base even as it talks of revival. # Group structure and partners **The company stands alone - no subsidiaries, no joint ventures - but it is bound by promoter-family cross-holdings and an inter-corporate loan it has defaulted on.** - **Subsidiaries have been struck off** - three wholly-owned subsidiaries (Atlas Cycles Sonepat Ltd, Atlas Cycles Sahibabad Ltd and Atlas Cycles Malanpur Ltd) were struck off during FY 2023-24 by order of the Ministry of Corporate Affairs, after the Board approved their closure in November 2023. The company now has no subsidiaries, associates or joint ventures. - **Promoters hold a large minority, and shares are moving among them** - promoters, associates and relatives together hold 41.92% of the equity, with the largest individual promoter holding just 4.25% as of FY24. In September 2025, Limrose Engineering Works sold 3,00,000 shares to Milton Cycle Industries in an inter-se transfer, shifting the balance within the promoter group without changing the overall stake. - **A defaulted loan from an associate hangs over the company** - the company took an inter-corporate loan of Rs. 9 crore from associate concern Milton Cycle Industries Limited at 11% per annum, and it has defaulted on repayment within the stipulated time. That default ties the company’s fate to a promoter-group entity that is also a creditor. - **The objects clause is far wider than the business** - the company’s constitutional documents authorise it to manufacture and deal in everything from motorcycles and cars to rubber goods and electrical engineering, and to engage in financing, agency, joint ventures and acquisitions. In practice, none of that is active: the company is a bicycle maker trying to restart one plant while selling the land under another.