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Bajaj swaps shares in KTM with Pierer Group

Our Bureau | | Updated on: Sep 30, 2021

MUMBAI, MAHARASHTRA, 23/02/2017: Amit Nandi, President-Probiking, Bajaj Auto Ltd., with the new KTM Duke range comprising the 390 Duke, 250 Duke and 200 Duke, during the launch in Mumbai on February 23, 2017. Photo: Paul Noronha | Photo Credit: PAUL NORONHA

Under the deal, Bajaj Auto will contribute a 46.5 per cent stake in KTM AG into listed Pierer Mobility AG

Bajaj Group and Austrian Pierer Group have simplified the shareholding structure in the operating motorcycle and sports car manufacturer KTM AG.

Under the deal, Bajaj Auto will contribute a 46.5 per cent stake in KTM AG into listed Pierer Mobility AG. The Management Board of Pierer Mobility have approved a capital increase of €895 million. This is done using two steps.

As a first step, Bajaj Auto International Holdings B.V. (BAIHBV) has contributed 46.5 per cent, out of its approximate 48 per cent shares currently held in KTM AG to PTW Holding AG (the majority shareholder of Pierer Mobility AG), owned by the Pierer Group. In return, BAIHBV has been granted a 49.9 per cent stake in PTW Holding AG.

Also read: Bajaj Auto opens bookings for e-scooter Chetak in Hyderabad

In a second step, the 46.5 per cent KTM shares now held by PTW Holding AG will be contributed to Pierer Mobility AG against the granting of new shares in the context of a capital increase through contributions in kind.

Following the execution of this transaction, the shareholding of Pierer Mobility AG in the operating KTM AG will increase from the current 51.7 per cent to around 98.2 per cent. The Pierer Group will continue to retain sole control over Pierer Mobility AG.

Published on September 30, 2021
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