Bajaj Auto secures full control of KTM after EU clears €800 million deal

Bajaj Auto Ltd. on Wednesday confirmed the completion of its €800 million acquisition of a majority stake in Austrian motorcycle manufacturer KTM, following the final round of regulatory approvals from European authorities. The company informed in a regulatory filing that it has also renamed Pierer Bajaj AG (PBAG) to Bajaj Auto International Holdings AG, and PIERER Mobility AG (PMAG) — the holding firm of KTM AG listed on the SIX Swiss Exchange and the Vienna Stock Exchange — to Bajaj Mobility AG, as reported by PTI.

Earlier this month, Bajaj Auto stated that eight of the nine required approvals had been secured and that the European Commission had issued its notification on 10 November, clearing the path for the deal. The acquisition follows the company’s announcement in May that it intended to shift from being a dormant minority investor to becoming the majority owner of KTM through its wholly owned subsidiary, Bajaj Auto International Holdings BV (BAIHBV). This subsidiary arranged the debt funding package of €800 million, or roughly ₹7,765 crore.

Before the transaction, Bajaj Auto held 49.9 per cent in its Austrian associate PBAG, while the controlling stake remained with Pierer Industrie AG, owned by entrepreneur Stefan Pierer. PBAG in turn held nearly 75 per cent of Pierer Mobility AG, the holding company for KTM AG, giving Bajaj an effective 37.5 per cent indirect stake in PMAG/KTM.

The company stated that with all conditions under the Call Option Agreement fulfilled, BAIH completed the acquisition of all 50,100 shares of PBAG from PIAG on 18 November 2025. Bajaj Auto added that the transaction resulted in the company, through its wholly owned subsidiary BAIH, securing the sole controlling stake in PBAG and consequently a controlling stake in PMAG and KTM.

Following the completion of the deal, BAIH now holds 100 per cent of PBAG, which in turn holds 74.9 per cent of PMAG/KTM. Bajaj Auto confirmed that PBAG has become its wholly owned step-down subsidiary with effect from 18 November 2025, and PMAG/KTM have also become step-down subsidiaries.

With the Pierer Group exiting PBAG and therefore PMAG/KTM, Bajaj Auto stated that PBAG has been renamed Bajaj Auto International Holdings AG and PMAG renamed Bajaj Mobility AG. The company added that the supervisory and management boards of PBAG, PMAG and KTM have been reconstituted following the restructuring.