We’re about to witness a power-shift thunderbolt in the global motorcycle world, and it smells faintly of curry and high-performance exhaust! 🏍️🇮🇳➡️🇦🇹
💥 Bajaj Auto’s Grand Slam: The Orange Empire Gets an Indian Overlord! 💥
The whispers in the pit lane are now roaring news: Pune’s very own Bajaj Auto has pulled off a corporate move smoother than a MotoGP lean, seizing majority control of the KTM universe! Forget that “influential minority investor” title—Bajaj has gone full Emperor of Orange!
💰 The Whopper Deal: How India Took the Driver’s Seat
Bajaj Auto did not just walk to the control room; they rode in on a whopping EUR 800 million (about ₹7,765 crore) cheque! That’s enough rupees to buy a small fleet of private jets… or, apparently, the keys to an Austrian performance brand.
- Before the Coup: Bajaj Auto International Holdings (BAIH) had 49.9% of the top-tier company, Pierer Bajaj AG (PBAG). They had an effective 37.5% economic interest in PMAG/KTM—close, but no cigar.
- The Power-Up: BAIH executed a call option agreement and snagged the remaining 50,100 shares of PBAG from Pierer Industrie AG.
- The Tally: BAIH now owns a glorious 100% of PBAG.
The Knockout Statistic:
| Entity | Old Ownership (Bajaj) | New Ownership (Bajaj) | Power Shift |
| Pierer Bajaj AG (PBAG) | 49.9% | 100% | Wholly Owned Subsidiary! |
| PMAG/KTM | Effective 37.5% | Effective 74.9% | Controlling Shareholder! |
Yes, you read that right: Bajaj now effectively owns 74.9 per cent of PMAG/KTM! This is no longer a partnership; it’s a Bajaj-led group!
🏷️ Name Changes: Signifying the Regime Change
When you take over, you change the sign on the door! Bajaj didn’t just move furniture; they slapped on a new corporate identity, making the power shift undeniable:
- Pierer Bajaj AG has been renamed Bajaj Auto International Holdings AG.
- PIERER Mobility AG is now known as the very symbolic Bajaj Mobility AG.
📣 Translation: The holding company whose shares are listed on the Zurich and Vienna stock exchanges now officially bears the Bajaj identity!
🚀 The Real World Impact: From Partner to Boss
For a decade, this alliance was Bajaj’s fast track to the premium segment. They’ve been building KTMs in India and co-developing platforms. Now, they’re not just assembling the bikes; they’re directing the orchestra!
Bajaj gains a much stronger voice (let’s be real, it’s the only voice that matters now at the holding level) on everything from:
- Product Pipelines
- Technology Roadmaps
- Market Strategy
It’s a huge victory, elevating Bajaj from a “strong partner” to the group that ultimately calls the shots at the holding company level. India’s two-wheeler giant is now steering the future of Austria’s performance brand! Get ready for some high-octane corporate drama and probably even faster bikes!
That’s the spirit! The story of Bajaj and KTM isn’t just a corporate transaction; it’s a global motorcycle fairy tale where the underdog Indian manufacturer helped rescue an iconic Austrian brand and then spent nearly two decades becoming its ultimate destiny!
Here is the highly entertaining timeline of how the Pulsar-maker took over the Duke-maker:
🇮🇳🤝🇦🇹 Act I: The Strategic Flirtation (2007 – 2012)
| Year | The Drama | The Outcome |
| 2007 | The First Date (The Investment) | Bajaj Auto, through its Netherlands subsidiary, acquires a 14.5% stake in the debt-ridden KTM. Bajaj’s goal? To get access to high-performance technology and enter the premium market. KTM’s goal? Survival and a strategic entry into the colossal Indian market. |
| 2011 | The Ring is Exchanged (Stakes Increase) | Bajaj gradually increases its stake to 35.67%, making it the largest single shareholder. The partnership deepens beyond just money. |
| 2012 | The Love Child is Born (The Duke 200) | The first product of this cross-continent collaboration, the KTM Duke 200, is launched in India. It’s built efficiently at Bajaj’s Chakan plant near Pune, but with KTM’s “Ready to Race” DNA. It becomes an instant, affordable performance legend in India and is exported globally! |
📣 The Synergy: Bajaj provides low-cost, high-quality manufacturing and access to emerging markets. KTM provides cutting-edge European R&D and a premium performance brand image. It’s a win-win that catapults KTM’s annual production from ~65,000 bikes to nearly 400,000!
📈 Act II: The Corporate Dance (2012 – 2024)
| Year | The Drama | The Outcome |
| 2013-2019 | Deepening the Bond | Bajaj continues to increase its stake, reaching nearly 48%. KTM expands its product line in India (Duke 390, RCs, Adventures). Bajaj leverages KTM’s tech to create its own performance bikes, like the Dominar 400 (using a derivative of the Duke 390 engine). |
| 2021 | The Complex Restructuring | To simplify the labyrinthine shareholding, Bajaj swaps its direct 48% stake in KTM AG for a 49.9% stake in the newly formed holding company, Pierer Bajaj AG (PBAG). This move put them one step closer to the ultimate control but still left the Austrian Pierer Group with the controlling vote. Bajaj becomes an “influential minority investor.” |
| 2024 | The Crisis Point (KTM’s Financial Headwinds) | Despite market success, KTM/Pierer Mobility faces significant financial turmoil due to high debt and market shifts, prompting a judicial restructuring process in Austria. The “Orange Empire” is teetering! |
👑 Act III: The Final Takeover (2025)
| Date | The Drama | The Outcome |
| May 2025 | The Rescue Package | Bajaj steps in as the White Knight, arranging an €800 million (₹7,765 crore) debt package to stabilize KTM and meet urgent creditor obligations. This wasn’t just an investment; it was a takeover foundation. |
| November 18, 2025 | The Power Switch | Bajaj executes the pre-arranged Call Option Agreement, buying the remaining 50.1% of Pierer Bajaj AG (PBAG) from the Pierer Group. |
| November 18, 2025 | The Coronation | The transaction closes. Bajaj’s subsidiary now owns 100% of PBAG, giving them the effective 74.9% controlling stake in PMAG/KTM! |
| Post-Takeover | The New World Order | Pierer Mobility AG is renamed Bajaj Mobility AG, and new boards are constituted. Bajaj moves from being a strong partner to the sole controlling shareholder. |
It took 18 years of patient, strategic investment, co-development, and financial support, but the Indian flag is now flying over the Orange Empire!
Source
The transaction’s completion was reported widely by business and automotive news outlets following Bajaj Auto’s regulatory filing on November 19, 2025.
- The Economic Times (Business/Auto):
- Times of India (Auto News):
- Financial Express (Business/Industry):
- Motorcycle.com (Industry News):
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