KTM AG: Refurbishment plans approved - Future for Upper Austria secured!

KTM AG: Refurbishment plans approved - Future for Upper Austria secured!

Mattighofen, Österreich - On May 23, 2025, the regional court in the Innkreis announced an important decision for KTM AG and its subsidiaries KTM Components GmbH and KTM Research and Development GmbH. As reported ots.at, the company's renovation plans were confirmed, which is a central step towards securing the future of the motorcycle manufacturer. KTM remains an important employer in Upper Austria and the region, and the company thanks everyone involved for constructive cooperation and trust.

This confirmation follows a previous decision by the court of February 25, 2025, in which the creditors had voted on the renovation plan. According to information from [Nachrichten.at] (https://www.nachrichten.at/wirtschaft/ktm- decision-xxx ;art15,4028102), a majority of creditors and capital were necessary to accept the plan. The renovation details stipulate that around 600 million euros have to be set up by the end of May 2025, with around 150 million euros necessary to secure the production in Mattighofen and the employment of 3000 employees by the end of May.

Financial situation and production plans

The liquidity to resume production is secured according to the plan. The cash quota is 30 percent, which corresponds to 548 million euros, which are to be paid by May 23, 2025. In addition, it is reported that 50 million euros will be made available from the mid -March to finance production, the first tranche of the required 150 million euros. The court plans to finally confirm the renovation plan in early June 2025. According to the AK-OÖ President Andreas Stangl, there is no further terminations if the renovation plan is accepted. Currently, 61 people, including 54 from KTM companies, are registered as terminated at the AMS.

KTM AG is not only confronted with legal and financial hurdles, but also faces challenges on the market. As reported industriemagazin.at, the parent company Pierer Industrie AG initiated a European restructuring process at the end of November. This procedure is aimed at preventing an premature due due position of bonds and promissory note loans in the amount of around 250 million euros, emphasizing that it is not a debt relief because the company is not over -indebted.

market and production situation

Pierer Mobility and KTM AG are currently facing declines and overcrowded camps. Around 100,000 motorcycles worth 1.4 billion euros are currently unsuccessful, which underlines the urgency of financial stabilization. The company needed bridging financing in a three -digit millions to secure liquidity. In addition, it remains unclear who could appear as a potential savior. Stefan Pierer denied rumors about an entry of Mark Mateschitz at KTM, while working with the Indian partner Bajaj Auto is a possible option.

Developments around KTM AG and its renovation plans are not only crucial for the employees and the region, but also have an impact on the entire motorcycle industry in Europe. The company, which is controlled by Stefan Pierer, holds 50.1 percent of Pierer Mobility, while the remaining 49.9 percent are owned by Bajaj Auto. The coming months will show whether the measures taken are sufficient to get KTM AG back on course.