On This Day: British Luxury Car Manufacturer, Rolls-Royce Limited, Was Incorporated In 1906

Do you know that as per a survey, only Coca-Cola was a more known brand than Rolls-Royce?

Rolls-Royce, the British luxury car and later an aero-engine manufacturer, was established in 1904 in Manchester. It was done under a partnership of Charles Rolls and Henry Royce. Since Royce had a good reputation established with his cranes, together they ended up being famous for their superior engineering by manufacturing the "best car in the world".

Incorporation

On 15 March 1906, the business was incorporated as Rolls-Royce Limited, and it was soon apparent that a new area was required for production of cars. After scouting sites in Manchester, Coventry, Bradford and Leicester, a decision to acquire a 12.7 acres (51,000 m2) site on the southern end of that city was made. Under the new factory premises, the production began in early 1908. On 6 December 1906, £100,000 of new shares were offered, and by 1907, Rolls-Royce bought out C.S. Rolls & Co. The non-motor section, the Royce Ltd., operated separately.

During the first World War, the company began manufacturing aero-engines. They entered production in 1940, and soon the company rose to fame as the manufacturer of engines for defence and civil aircraft.

In the late 1960s, the company was adversely affected due to consequent cost overruns, and by 1971, the owners had to liquidate their business. The useful portions, which were purchased by the new government-owned company named Rolls-Royce (1971) Limited, held on to the core business but sold the holdings in British Aircraft Corporation (BAC).

The car division, the Rolls-Royce Motors Holdings Limited, was finally sold to Vickers in 1980. Till 1987, the Rolls-Royce business remained nationalised but after naming it Rolls-Royce plc, the British government sold it to the public in a share offering. Rolls-Royce plc still owns Rolls-Royce's principal business, and is a subsidiary of Rolls-Royce Holdings plc, which is a listed holding company.