The company announced this move in an exchange filing and aims to grow its presence in the global motorcycle market, particularly in the premium and sports segment.
BAIHBV has secured €800 million in debt funding to support KTM’s business revival and debt restructuring. This includes €450 million as a secured term loan to KTM and €150 million in convertible bonds issued by Pierer Bajaj AG, subscribed by BAIHBV.
So far, €200 million has been infused, and the remaining €600 million is being disbursed now.
KTM faced liquidity issues and entered a self-administrative restructuring process in November 2024. Creditors accepted the restructuring plan on February 25, 2025, requiring a one-time payment of 30% of their claims by May 23, 2025.
The Austrian court approved this plan. Bajaj’s funding will help KTM avoid insolvency and restart operations. Bajaj Auto’s board will seek shareholder approval through a postal ballot.
After the acquisition, Bajaj plans to improve KTM’s governance, start a turnaround program, and explore partnerships.
Discover more from News Hub
Subscribe to get the latest posts sent to your email.
