KTM’s financial situation has taken a positive turn after the approval of its restructuring plan by creditors in Austria. As part of the agreement, the company must deposit 548 million euros on a regional court, an amount that will have to be returned before May 2025.
Piere Mobility Group, to which KTM belongs, has been in a self -administering process since November 2024, facing a debt greater than 2,000 million euros. With this plan, KTM will cover 30% of that debt in a single payment, allowing the courts to confirm the restructuring in early June.
To ensure the viability of the operation, it is estimated that KTM has managed to raise up to 900 million euros of external investors. In addition, Bajaj Auto, its partner with 49.9% participation, has granted a loan of 50 million euros.
Piere Mobility Ag confirmed in his press release that KTM AG requested the judicial restructuring procedure with self -administer on November 29, 2024, with the aim of reaching an agreement with its creditors within 90 days. At today’s meeting, the creditors accepted the plan presented by KTM AG, which establishes the single payment of 30% of the debts.
KTM can start manufacturing motorcycles in three months
To guarantee the gradual restart of production from mid -March 2025, KTM AG will receive additional 50 million euros from an expanded shareholders. These funds will be used to cover the costs of the progressive resumption of production, resume production in mid -March, reaching the full capacity of its four assembly lines within a period of three months.
Meanwhile, KTM maintains its commitment to the MotoGP championship for the next season, although its continuity beyond 2026 is not yet insured.
From Piere Mobility Ag have confirmed in a statement that «Creditors will receive a cash share of 30% of their credits in a single payment»And that the restructuring will be legally validated once the Court confirms it in June 2025. This movement involves a key step for the stability and future of the iconic motorcycle mark.
