When Bajaj Auto confirmed in early November this year that it was preparing to take full control of KTM AG, the move marked the culmination of a partnership that began nearly two decades ago. What started as a minority investment in 2007 has now evolved into a change of control that places one of Europe’s most recognisable performance motorcycle brands under Indian ownership.
The transition was not abrupt–it was already in the making. Bajaj had been supporting KTM financially through a period of restructuring that began in late 2024. But November 2025 marked the point at which Bajaj moved from being a strategic partner to the sole controlling shareholder, with direct influence over KTM’s operations, leadership and long-term direction.
Regulatory clearances
The change of control was formally completed on November 18, 2025. Through its wholly owned subsidiary, Bajaj Auto International Holdings BV, Bajaj Auto acquired all 50,100 shares of Pierer Bajaj AG from Pierer Industries AG, the previous controlling shareholder.
As a result, Bajaj Auto now owns 100 per cent of Pierer Bajaj AG, which in turn holds approximately 74.9 per cent in both Pierer Mobility AG and KTM AG.
On November 19, Pierer Bajaj AG was renamed Bajaj Auto International Holdings AG, while Pierer Mobility AG was rebranded as Bajaj Mobility AG at an extraordinary general meeting. Despite the change in ownership, Bajaj Mobility AG remains listed on the SIX Swiss Exchange in Zurich and the Vienna Stock Exchange.
The boards of Pierer Bajaj AG, Pierer Mobility AG and KTM are being reconstituted with Bajaj nominees, formally placing strategic and operational control with the Indian manufacturer. According to Dinesh Thapar, Bajaj Auto’s Chief Financial Officer, this would allow Bajaj to consolidate KTM’s financial results and take a direct role in shaping the business.
“We will start to get actively involved in driving strategy and an operational turnaround to restore sustainable financial performance for this business starting 2026 onwards,” Thapar said.
Turnaround priorities
With control secured, Bajaj has outlined a three-part turnaround plan focused on financial liquidity, leadership restructuring and cost reduction. Rakesh Sharma, Executive Director at Bajaj Auto, said the company had already provided financial support to KTM and was in the process of putting a new management team in place.Cost optimisation will be a central theme, covering both overheads and manufacturing expenses.
One option under evaluation is shifting part of KTM’s production to India, particularly for lower-capacity motorcycles. Bajaj already manufactures several KTM models in India for domestic sale and export, and Sharma said this experience would inform future decisions.
At the same time, Bajaj ruled out shutting down KTM’s European plants.
There are early signs of stabilisation. Sharma said KTM’s global sales had improved in recent quarters, with Bajaj exporting close to 20,000 units to KTM in the second quarter alone. These exports accounted for about 5 to 6 per cent of Bajaj Auto’s total exports during the period, compared with around 1 per cent in a weaker year.
In India, KTM has also seen steady traction. The Duke 200 and 250 have recorded consistent demand, while the Duke 160 has been positioned as a volume driver. Updated adventure models introduced earlier in the year have also gained ground. The combined domestic sales of KTM and Triumph motorcycles reached around 30,000 units in the latest quarter.
From partnership to ownership
For Bajaj Auto, the KTM takeover represents more than a financial transaction. It signals a shift in how Indian manufacturers participate in global automotive value chains — not just as low-cost production hubs, but as owners and operators of international brands.
KTM’s restructuring, which began in November 2024, has been a test of that ambition. Bajaj has committed to investing €800 million to support the revival of the business, while balancing the need to preserve KTM’s brand identity and European engineering base.
Through the acquisition and KTM’s potential turnaround, the Indian brand is also eyeing to give a required thrust to its profitability even as it battles dwindling market share in the home market.
As 2025 draws to a close, the immediate task for Bajaj is execution. The regulatory phase is complete, the ownership structure has been simplified, and operational control has changed hands. What follows will determine whether this long-standing partnership can be reshaped into a sustainable, globally competitive motorcycle business under Indian stewardship.
