KTM empire in the crisis: two companies before bankruptcy!

KTM empire in the crisis: two companies before bankruptcy!

In a stirring debt report, the KTM empire has to deal with bankruptcy again. Avocodo GmbH and Pierer E-Commerce GmbH, key player in the company's digital business, have filed for bankruptcy at the Linz Regional Court. A total of around 150 employees and over 120 creditors are affected, including many who rely on high demands compared to KTM AG. According to a report by ORF OÖ , Avocodo, a company that has existed since 2000, suffered a financial setback, mostly due to unpaid invoices by main customers, among which KTM AG and the KTM Research & Development GmbH include. The debts amount to 3.3 million euros, while the company has a liquidation value of only about 1 million euros.

massive effects on employees and creditors

Pierer E-Commerce GmbH, which was founded in 2001, is also affected. This company, which is responsible for online sales and digital marketing by the Pierer Group, reports liabilities of around 4 million euros. The bankruptcy is a direct result of unpaid services that were provided between November and December 2024, which caused around 25 employees to be affected directly. Like Kurier , you can already see the possibility of a continuation plan for both companies. Commercials are offered a repayment of 20 percent, which is to be paid within 24 months.

The insolvency proceedings are not only an alarm bell for the entire KTM group, but also a sign of the tense financial situation in the company. A continuation of the business is being sought and there is already great interest from external investors who want to get into the two companies. Nevertheless, it remains to be seen whether these renovation plans can bring enough trust in the KTM brand.