Bajaj Auto Completes Acquisition of Majority Stake in KTM Parent Company
Bajaj Auto Ltd has officially completed the acquisition of a majority stake in the holding company of Austrian motorcycle manufacturer KTM AG, following the receipt of all necessary regulatory approvals from European regulators for the transaction valued at €800 million (approximately ₹7,765 crore).
The completion of this transaction, finalized on November 18, 2025, solidifies Bajaj Auto's long-standing partnership with KTM, shifting its role from an influential minority investor to the sole controlling shareholder of the group's parent entity.
Key Details of the Acquisition
| Aspect | Details |
| Transaction Value | €800 million (Approx. ₹7,765 crore) |
| Acquired Entity | All 50,100 shares of Pierer Bajaj AG (PBAG) from Pierer Industrie AG. |
| New Ownership Structure | Bajaj Auto's wholly-owned subsidiary, Bajaj Auto International Holdings BV (BAIH), now owns 100% of PBAG. |
| Effective Stake in KTM | Through PBAG, Bajaj Auto now holds a controlling 74.9% stake in PIERER Mobility AG (PMAG) and subsequently KTM AG. |
| Completion Date | November 18, 2025. |
| Regulatory Hurdles | The final approval was granted by the European Commission on November 10, 2025. |
Major Corporate Restructuring and Name Changes
To reflect the change in ownership and the exit of the Pierer Group from the controlling entity, Bajaj Auto has initiated significant corporate rebranding:
Pierer Bajaj AG (PBAG) has been renamed to Bajaj Auto International Holdings AG.
PIERER Mobility AG (PMAG), the listed holding company of KTM AG, has been renamed to Bajaj Mobility AG.
The supervisory boards and management boards of PBAG, PMAG, and KTM are being reconstituted to align with the new ownership structure.
With this move, PBAG becomes a wholly-owned subsidiary of BAIH, and PMAG/KTM AG have become step-down subsidiaries of Bajaj Auto.
History of the Bajaj-KTM Partnership
The full acquisition marks the culmination of a highly successful 17-year strategic alliance that began in 2007 when Bajaj Auto first acquired a 14.5% stake in the Austrian company.
Manufacturing Hub: The partnership leveraged Bajaj Auto's Chakan plant near Pune to co-develop and manufacture KTM's small and mid-capacity motorcycles (125cc to 390cc) for global distribution.
Global Impact: This collaboration was instrumental in scaling KTM's production from approximately 65,000 motorcycles annually to nearly 400,000 units.
Strategic Shift: The deal allows Bajaj to move from being an influential manufacturing and distribution partner to the company that ultimately calls the shots on global product planning, technology roadmaps, and market strategy for the KTM, Husqvarna, and GasGas brands.
This landmark deal hands an Indian company complete control of one of Europe's most iconic performance motorcycle groups, strengthening Bajaj Auto's position in the global premium motorcycle segment.