Bajaj Auto Increases Stake In KTM
KTM Power Sports, Europe's second largest motorcycle manufacturer and World's No I Off-Road Bike maker, closed a 42.99 Million Euro Capital increase on 16th April 201O. The Capital increase comprised of 13.24 Million Euros by way of conversion of loans and 29.75 Million Euros Cash rights issue.
Bajaj Auto has invested Euro 20 Million in this capital increase and consequently has increased its share-holding in KTM from 31.92% to 35.67%. The joint development projects are proceeding well and the first products will hit the markets by the end of this year in Europe and by middle of 2011 in India. Bajaj will distribute KTM products in India and in markets like Sri Lanka, Bangladesh, Indonesia, Africa.
[Via: Motorbeam]
Coming soon : Bajaj-KTM street bikes
The Indo-Austrian alliance in the form of Bajaj Auto and KTM has resulted in the attainment of street bikes which will be inaugurated at the biennial Auto Expo 2010. These bikes will be powered by liquid cooled 4 stroke engine and will be powered by 125cc and 250cc engines. Though there are around 10 models in the market in the 125cc category, the 250cc segment is yet to be explored in India.
The agreement between the 2 companies took place in November 2007, with Bajaj Auto gaining 31.72% stakes in KTM. Essentially, KTM manufactures 50cc-1200cc bikes but for Bajaj Auto, only 2 bikes will be developed with a mass production taking place at Chakan, near Pune. KTM is looking forward to showcase these products at the international bike fair EICMA which will be held in Milan, Italy this November and later at the Auto Expo in New Delhi in January 2010.
Apart from these bikes a few big bikes of KTM will also be launched. These include 690 Supermoto, street bike 690 Duke, 990 Adventure, 250 EXC-F and 990 Superduke to name a few. While some of them will be directly imported, others will be sold through Bajaj's probiking showrooms. With so many bikes to choose from, bikers will be quite delighted.
[Via: BIKE]
Bajaj-KTM 125cc bike to be shown at the 2010 Auto Expo
KTM, the Austrian motorcycle manufacturer in which the Pune-based Bajaj Auto upped its stake to 32% in March this year, has announced a 25% cut in production for 2009. As with most other motorcycle manufacturers, KTM is faced with declining sales and reduced profitability and hence the company is planning to scale back its production.
Compared with the 93,300 bikes it produced last year, KTM plans to only produce around 70,000 motorcycle this year. The company had recently laid off around 300 of its employees and now plans to run shorter production shifts, because of which another 700 of its employees may have to take pay cuts.
However, KTM continues to invest in R&D and, along with Bajaj Auto, is working on a 125cc street bike which it aims to unveil at the EICMA show in Italy, in November this year. This bike will also be shown at the 10th Auto Expo in Delhi in January 2010 and could go on sale in Europe and India simultaneously, during the first quarter of 2010.
KTM is also working on developing various other kind of vehicles that are aimed at sustainable mobility in the future. Among others, these vehicles include a battery-powered off-road bike and a small car, which could be similar in concept to the Tata Nano.
[Via: indiaautomotive]
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