Gazelle has announced that it will build a new plant at its current location in Dieren, Netherlands, requiring an investment of more than €10 million. The news, reported by Bike Europe, comes after rumors that the Dutch bicycle manufacturer, part of Pon Holdings, would relocate its production facilities. The current office building will be renovated and modernized but it will preserve its characteristic early twentieth century style. The new plant will also handle the production of electric bicycles, as part of Gazelle's declared ambition to become the number one premium brand in electric bicycles in Western Europe. Construction is due to start at the end of 2013.