MV Agusta Issues Statement In Response To KTM Split Claims

Quick News Highlights:

- MV Agusta has issued a statement in response to recent claims about it being dropped by KTM
- Recent claims suggested that KTM could go in this direction to recover from its well-publicised financial woes
- But this statement from the Italian manufacturer suggests that all is well in that ownership structure

KTM has been facing financing problems for some time now, and recent reports suggested that its parent company, Pierer Mobility Group, is most likely to drop MV Agusta from its portfolio to cut its losses. But the Italian company has now issued a statement as a counter to these reports, basically saying that everything is working very well under the current ownership.

Stefan Pierer, CEO of KTM, announced less than a month ago that the manufacturer is going through a ‘self-administration’ and several restructuring changes will be made in the next 90 days to sort out the financial woes the company is finding itself under. A court-appointed administrator was also to be put in place to help with the process. In line with these developments, a recent report published online suggested that dropping MV Agusta from its portfolio is a move that the Pierer Mobility Group is seriously considering as part of the said restructuring plans. Interestingly, KTM AG became the majority owner of MV Agusta as recently as March 2024. 

So, in response to these separation claims, the Italian manufacturer has released a statement saying that the ownership has never interfered with how the company functions and that all decisions regarding the company’s development and operations are taken only in its headquarters in Varese, Italy. From conceptualising and designing its bikes to production, sales, and after-sales service, they are handled by MV Agusta themselves from Varese, and the manufacturer has said that this has allowed them to operate completely in an independent manner. The Italian manufacturer has also said that the shareholding structure is still being defined and that it is working together with the shareholders to determine the corporate structure. The statement also states that MV Agusta is satisfied with its sales performance in 2024. Even though the statement released by MV Agusta does not outrightly say anything about it being not sold by KTM to cut its losses, the clarification about its everyday working structure and its satisfaction with the current structure under the new ownership suggests that the immediate future for either brand does not include divorce proceedings.

KTM has recently unveiled its latest-gen 390 Adventure range all around the world and also finally launched its big bikes in India last month. And the ownership structure of MV Agusta under the Pierer Mobility Group promises to provide the additional help required for the Italian manufacturer to scale up on all fronts. Provided KTM can solve its financial issues, which we hope happens sooner than later.