MV Agusta’s Board Of Directors now includes two senior KTM management personnel.
As we had reported earlier, KTM AG (part of the Pierer Mobility group) has officially inked a deal with MV Agusta, acquiring a 25.1 percent stake in the Varese-based marque by way of a EUR 30 million capital increase. This deal has also entailed some structural changes inside the MV Agusta hierarchy, with two senior management personnel from KTM now a part of the Board Of Directors.
- KTM will partly distribute MV Agusta products in the future
- To take over MV Agusta’s purchasing operations
KTM acquires 25.1 percent share in MV Agusta: details
This deal effectively enables MV Agusta to leverage KTM’s larger supply chain network and the Austrian marque will also take over purchasing operations for the Italian company. This should help MV Agusta (a relatively small and financially-troubled company) optimise its costs due to KTM’s relatively larger scale of operations. This strategic alliance will also pave the way for MV Agusta to partly retail its products through Pierer Mobility’s worldwide distribution network.
Timur Sardarov, CEO of MV Agusta Motor S.p.A. stated: “I am excited about this important agreement, and delighted to welcome KTM AG, Europe’s leading powered two-wheeler manufacturer, into the MV Agusta family. Driven by our shared vision of excellence, the principal goals of our alliance will be the consolidation of our core business and the production of high-performance motorcycles in the premium segment. I am confident that the agreement will strengthen our brand in a complex and challenging marketplace”.
Will MV Agusta return to India?
Given that Bajaj Auto owns a 49.9 percent stake in PTW Holding AG, the parent company of Pierer Mobility, it’s not entirely out of the realm of possibilities, especially considering that the Indian two-wheeler marketplace is slowly but surely warming up to the idea of larger capacity motorcycles.
Would you like to see the MV Agusta brand make a return to our shores? Let us know in the comments section below.