Bajaj acquires 1.21% more stake in KTM

Bajaj started off with purchasing 14.5% stake in KTM in 2007 for over Rs. 300 crore. The leading manufacturer of Indian performance bikes plans to bring entry level bikes of the Mattigofen based manufacturer with the KTM Duke 200 and its flagship models Duke 690 and Super Duke 990 through the CBU route. KTM is well known for its off roading two-wheelers like the KTM adventure 640, KTM Supermoto and the KTM 950 Adventure.

The KTM Duke 125 produced at the Bajaj plant for European markets

A majority stake of the company is owned by CROSS Industries with 50.1% stake but the company strongly holds it ground to continue being the bulk owner but Bajaj has been eating up the shares from other minority stake holders and constantly increasing its overall hold over the Austrian company. The Pune-based two-wheeler manufacturer now holds 39.3% interest in the off-roading bike manufacturer. Bajaj continues to have the agenda of being the mass stake holder of the company by continually making offers to minor share holders.

So far the relationship between the two companies has been fruitful, with Bajaj producing the Duke 125 for the European market and already 2400 units being exported from earlier this year.

Today, the maker of Pulsar rane of motorcycles is listed as the second largest share holder in the Vienna Stock exchange after it has spent over a Rs. 1000crore. The two companies have been working together to expand and develop new bike models for India and exporting them for Europe, and South East Asia.