Trading group Pon Holding has made an all cash offer to take over Accell Group, which would create the biggest bicycle maker in the world.

Pon owns the Gazelle and Union bike brands among others, while Accell has Batavus, Sparta and Koga in its stable.

Pon, which is primarily known for its car importing activities, has offered €32.72 a share for Accell, a 25% premium on its Monday close.

Accell said in a statement that it is having ‘exploratory discussions’ with Pon. ‘The supervisory board and executive board of Accell Group are carefully reviewing and considering all aspects of the proposal, together with their financial and legal advisors,’ the statement said.

However, ‘there can be no assurance any transaction will result from these discussions.’

Pon currently owns 10 bike brands and is active in the Netherlands, Germany, US, China and Australia. The company expects to sell some 800,000 bikes this year for some €700m.

Accell, which operates in some 70 countries, focuses on more expensive custom bikes and e-bikes and booked turnover of more than €1bn in 2016.