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KTM Secures €600 Million Financing, Avoiding Insolvency Liquidation

With Bajaj Auto as the likely primary backer, KTM stabilizes operations but faces questions about future ownership, production, and MotoGP involvement post-2026.

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Overview

  • KTM has secured the €600 million financing required to meet its May 23 insolvency restructuring deadline, averting liquidation.
  • The financing was confirmed by Pierer Mobility AG, though reports suggest Bajaj Auto is the primary contributor with a €566 million loan.
  • Bajaj Auto, which already holds just under 50% of KTM’s shares, is expected to gain greater influence over the company’s operations and strategic direction.
  • KTM’s long-term status as an Austrian-owned company is uncertain, with potential shifts in production from Europe to India or other regions under Bajaj’s influence.
  • While KTM remains contractually committed to MotoGP through 2026, its participation beyond that date remains unclear, raising questions about its motorsport future.