PIERER Mobility AG and KTM AG reveal 600 million Euro repayments will be fulfilled ahead of May 23 deadline thanks mainly to Indian partner Bajaj.

This news story should probably be filed in our “Industry news” section but, as it has wider implications to customers and our dealer friends, it deserves a bigger airing.

With all previous hurdles jumped, the last major deadline for KTM following the substantial financial difficulties is the repayment of finances to the tune of around 600 million Euros by this Friday, May 23.

PIERER Mobility AG and KTM AG have revealed today, May 20, 2025, that subject to dotting some Is and crossing some Ts, they will fulfil the restructuring plans on time and have the finances in order to meet the deadline.

“Today we have been given the opportunity to continue the history of KTM.”  Says Gottfried Neumeister, CEO, KTM AG. “Together with our long-standing partner Bajaj, we were able to work out a strategy that will enable us to raise a further 600 million Euros for our new start in addition to the 200 million Euros already made available.

“The existing sites - in particular our main plant in Mattighofen/Munderfing - will remain the basis for our future success. This means that we will continue to be an important employer for the entire region.

“In view of this new, second opportunity, we at KTM feel deep gratitude and humility towards all those within and outside our group of companies who have made it possible.

“I would also like to take this opportunity to thank Stefan Pierer on behalf of all those who have accompanied us along the way. He laid the foundation for one of the world's best-known motorcycle brands, which has a unique community.” 

Turmoil or keeping calm and carrying on?

In recent weeks the former CEO Stefan Peirer has reportedly begun legal action against chairman of the supervisory board and a board of management of Pierer Industrie AG Stephan Zochling over an €80 million loan.

This also stirs into the melting pot with production said to be halted again during April, compounding the grass roots problems Enduro21 anecdotally hears about of owners not being able to get spares for their bikes or indeed buy new bikes.

Certainly there appears to be no shortage of people looking elsewhere for their new bikes at the moment.

Meanwhile the situation for people inside the orange business seems to have been keep calm and carry on with the caveat, ‘as best you can’.

Lightening the load from several perspectives has been the off-loading of MV Agusta and CFMoto distribution and marketing in Europe from the books. It has helped distributors and dealers concentrate on the core products, namely KTM, Husqvarna and GASGAS models.

 

That’s all, for now.

 

Photo Credit: KTM