The Dutch owner of Raleigh — the bicycle manufacturer — has been approached by a local rival with regard to a potential takeover bid worth around £718.5 million.

Founded in Nottingham in the 1800s, Raleigh was bought by the Accell Group for more than $100 million in 2012.

Now, Amsterdam-based Pon Holdings has offered to merge Accell with its own bicycle division. A statement from Accell said that it is currently in “exploratory discussions with Pon for a non-binding conditional bid”.

It added: “The supervisory board and the executive board of Accell Group are carefully reviewing and considering all aspects of the proposal, together with their financial and legal advisers.

“Accell Group will take into account the interests of all its stakeholders. There can be no assurance that any transaction will result from these discussions.”

Raleigh was founded on Raleigh Street in Nottingham in 1887, when Sir Frank Bowden purchased an interest in a small bicycle company. Taking its name from the street, the Raleigh Bicycle Co began production in 1890.

In the year to 31 December 2015, Raleigh UK Ltd had a turnover of £33.9 million (www.raleigh.co.uk).