BiznextIndia : KTM Industries AG was informed by Pierer Industrie AG and Bajaj that they have started discussions on assessing the possibility of transferring Bajaj’s 48% stake in KTM AG to KTM Industries AG, with the Pierer-Group continuing to retain the controlling majority over KTM Industries AG.
Pierer Industrie AG holds approximately 62% of the shares of KTM Industries AG. The listed company KTM Industries AG holds approximately 51.7% of the shares of KTM AG; Bajaj Auto International Holdings BV holds approximately 48% of the shares of KTM AG.
Pierer Industries AG and Bajaj will now evaluate the proposals in detail. The transaction decision is targeted to be made in the second quarter of 2019. If Pierer Industrie AG and Bajaj decide to execute the transaction, KTM Industries AG will examine the legal and economic requirements and conditions of a capital increase by contribution in kind from the existing authorized capital of the Company. The authorized capital enables a capital increase of up to 50% of the existing share capital. If the transaction is executed, the Company’s stake in KTM AG would increase from current 51.7% to approximately 99.7%.