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Bajaj Auto Secures Majority Stake in KTM with €900 Million Rescue Plan

The Indian automaker has finalized funding to stabilize KTM’s operations, pending Austrian court and regulatory approvals.

Overview

  • Bajaj Auto, through its Dutch subsidiary BAIHBV, has arranged €800 million in debt financing and an additional €100 million loan to rescue KTM AG from financial distress.
  • The funding will be used to settle creditor obligations, restart KTM’s global manufacturing and supply chain, and provide working capital for operations.
  • Bajaj plans to take majority control of KTM, transitioning from a minority investor to a key decision-maker in the premium motorcycle brand's governance and strategy.
  • Austrian court approvals and regulatory clearances are the next steps to finalize the takeover and conclude KTM’s court-supervised restructuring process.
  • The acquisition positions Bajaj to expand its global footprint in the high-performance motorcycle segment while revitalizing KTM’s brand and operations.