Bajaj Auto subsidiary raises stake in KTM Power Sports

By IANS,

Mumbai: Bajaj Auto’s Netherlands subsidiary Wednesday raised its stake to 38.09 percent in KTM Power Sports AG.


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“Bajaj Auto International Holdings BV Netherlands (BAIHBV), a 100 percent subsidiary of Bajaj Auto Ltd, purchased further 244,600 shares in KTM Power Sports AG (KTMPS) on Nov 3,” the company said in a statement.

In 2007, Bajaj Auto had picked up a 14.5 percent stake in KTM to gain engine technology and a distribution network in Europe. The current purchase takes the total shareholding of BAIHBV in KTMPS to 38.09 percent.

Earlier Bajaj and KTM had agreed on joint development of-125cc and 250cc water-cooled engines. The first co-developed product, the KTM Duke 125 is expected to hit the European markets in 2011.

“Launch of a KTM product suitable for India, from this joint development is planned for second half (H2) of 2011,” the statement said.

The bike is expected to come into India by mid-2011.

KTM manufactures sports and off-road bikes from sub-100cc to almost 1,000cc engine category.

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