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Bajaj Auto Ltd invests Euro 20 M to increase KTM stake to to 35.67% |
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Written by Vivek
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Saturday, 17 April 2010 |
Mumbai: Bajaj Auto Ltd has increased its share-holding in KTM Power Sports AG, Europe's second largest motorcycle manufacturer and World's No I Off-Road Bike maker, from 31.92% to 35.67%.
KTM closed a 42.99 Million Euro Capital increase on 16th April 20l0. 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 Ltd has invested Euro 20 Million in this capital increase.
Meanwhile Cross Industries (controlled by Messrs Stefan Pierer and Rudy Knunz) retained it's shareholding at over 50%, by a combination of cash subscription and loan conversion.
"The joint development projects are proceeding well and the first products will reach the markets by end of this year in Europe and by middle of 2011 in India," said a statement by the company. Bajaj will distribute KTM products in India and in markets like Srilanka, Bangladesh, Indonesia, Africa and such Bajaj lead markets.
"The investment by Bajaj reinforces its commitment to KTM and highlights the significance of 'Ready to Race' KTM Brand in its 'Global Strategy'," the statement added. |
