KTM Components GmbH: Refurbishment plan for the future of motorcycle suppliers

KTM Components GmbH: Refurbishment plan for the future of motorcycle suppliers

In Mattighofen, KTM Components GmbH, a subsidiary of KTM AG, has applied for a renovation process. The application was submitted to the regional court in the Innkreis, as Venka Stojnic from the Austrian Association of Creditreform reports. This decision follows the failed extrajudicial renovation attempts at KTM AG, which now also has an impact on the subsidiary.

The KTM Components GmbH, founded in 2004, specializes in the manufacture and distribution of components for motor vehicles. This includes not only motorcycles, but also ATVs and quad bikes as well as their spare parts. In addition, the company also supplies racing sports teams and the accessories trade. It is noteworthy that almost the entire production of KTM Components GmbH is determined for KTM AG and its connected companies.

difficult financial situation

The company's financial situation is tense. Around 335 creditors and 374 employees are affected by the bankruptcy applications. The assets of KTM Components GmbH amount to around 15.96 million euros, while the total liabilities amount to 57.69 million euros. In the event of a liquidation, further liabilities of 11.28 million euros could be added, which would increase the total debt to 68.97 million euros. These figures illustrate the serious financial challenges that the company faces.

future prospects

Nevertheless, there is a plan to continue the company. A financial plan was submitted that includes reorganization measures. The creditors are offered a repayment of 30 percent, which should take place within two years. In the event of a closure, only such a small repayment of approx. 19.68 percent would be expected, according to the creditors' protection association Creditreform. This plan is intended to help overcome the existing crisis and to lead KTM Components GmbH out of the financial imbalance.

The situation is tense and it remains to be seen whether the measures carried out are sufficient to bring KTM Components GmbH back on the right course. For more information on this topic, www.tips.at .