After almost three months of standstill, the motorcycle production at KTM in Mattighofen (Upper Austria) has been active again since 17 March and it can also be continued. It has been clear since Tuesday morning: the motorcycle manufacturer, which went bankrupt at the end of November 2024, also set up the next 50 million euros.
When does the money flows? How much is transferred? For days, these questions were always asked in the direction of KTM – with growing tension, because it was clear in the course of the renovation process: the 50 million euros that Bajaj paid, cover the costs for the resumption of production in March in March. However, another 100 million euros are required for April and May, so that the costs incurred for motorcycle assembly can also be covered.
Bajaj has reserved 150 million euros for KTM
With Bajaj, the business partner of Stefan Pierer and Co owner from India had already set the course internally on February 21 and then parked the 150 million euros that were needed for these three months in one account. From there, shortly before the vote on the renovation plan at the Regional Court in Ried IM Innkreis, the first 50 million euros went to the Tracking drawing of KTM-AG-AG-Sanoratiewalter Peter Vogl, who then forwarded the money to the motorcycle manufacturer. On Tuesday, April 1, Pierer Mobility AG announced that KTM is already available for another 50 million euros “to resume production”. This provides production for April.
KTM had raised motorcycle production in Mattighofen on 17 March. The restart takes place in a one -off operation. The Innviertler produces the strong bicycles on four lines. According to the company, the entire operation must be reached during the middle of June.
470 employees lost their jobs in bankruptcy procedures
On November 29, 2024, the renovation process was opened through three companies (KTM AG, KTM Research & Development GmbH, KTM Components GmbH), the debt mountain was eventually included at 2.23 billion euros. In the course of the bankruptcy procedure, the separation of 470 employees was separated. Until 23 May you have the time to transfer the rate of 30 percent and the procedural costs to the renovation recently. About 600 million euros are required.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
