Good news from the economy: the insolvency motorcycle manufacturer KTM claims to have sufficient financing obligations to meet the quota in the bankruptcy procedure. This could make the necessary payments by 23 May. As the “Kroon” has already reported, the Indian co -owner must become a savior in need.
In the middle of the night of Tuesday, the listed Pierer Mobility AG bombarded the bomb via ad-hoc announcement: the necessary financing obligations were made to meet the quota required by the approximately 1200 creditors. In total the claims are around 2.2 billion euros, the creditors had approved the bankruptcy plan based on a rate of 30 percent. This means that KTM had to set up around 600 million euros – until the deadline on Friday.
If all contracts are signed with the financiers – which is currently possible – the payment of the quota is the second step in the renovation plan after the renovation plan has been accepted. This is to avert bankruptcy.
It was not officially not known who was the financially strong savior. As the “Krone” already reported, it should be the Indian co-owner: the Bajaj group had already provided a total of 200 million euros in recent months to bring back production in Mattighofen to the corridors, but which was then pulled again at the end of April.
With a loan from JPMorgan Chase, DBS Bank and Citigroup, Bajaj has now secured 566 million euros, which must be made available for payment of the renovation percentage. This should also considerably change the power relationships behind the scenes of KTM – and make it more likely to convert the company.
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.
