Bajaj Auto Completes Acquisition of KTM: Takes Full Control of Pierer Bajaj AG
Indian automotive giant Bajaj Auto has officially taken full control of KTM, marking a historic milestone in the global motorcycle industry. The company announced that it has completed the acquisition of a 100 percent stake in Pierer Bajaj AG (PBAG) through its wholly-owned subsidiary, Bajaj Auto International Holdings BV (BAIH).
This development follows the receipt of all necessary regulatory approvals from the European Union for the transaction, valued at approximately 800 million Euros.
The Deal Structure and Ownership
On November 18, 2025, Bajaj Auto finalized the purchase of all 50,100 shares of PBAG from Pierer Industries AG (PIAG). With this transaction, the Pierer Group has officially exited its involvement in PBAG.
The acquisition has significant implications for the group’s structure:
- 100% Ownership of PBAG: PBAG has now become a fully owned subsidiary of Bajaj’s BAIH.
- Controlling Stake in KTM: Through this acquisition, Bajaj Auto now holds a commanding 74.9 percent controlling stake in Pierer Mobility AG (PMAG) and KTM AG (KTM). Consequently, both PMAG and KTM have become step-down subsidiaries of Bajaj Auto.
The company confirmed these details in a regulatory filing under Regulation 30 of SEBI’s Listing Obligations and Disclosure Requirements (LODR).
Renaming and Restructuring
Following the takeover, Bajaj Auto has initiated a comprehensive restructuring of the corporate entities involved. Significant rebranding efforts are underway to reflect the new ownership structure:
- PBAG (Pierer Bajaj AG): Will be renamed to Bajaj Auto International Holdings AG.
- PMAG (Pierer Mobility AG): Listed on the Zurich and Vienna stock exchanges, this entity will be renamed Bajaj Mobility AG.
In addition to the name changes, the Supervisory and Management Boards of PBAG, PMAG, and KTM are being revamped to align with Bajaj Auto’s strategic vision and new ownership status.
Timeline of the Acquisition
The process for this major acquisition began in May 2025, when Bajaj Auto first signed the agreement to acquire shares from PIAG. Over the subsequent months, the company issued notices to exercise its call option and worked to secure critical regulatory clearances.
Key approvals included confirmation from the Austrian Takeover Commission that a mandatory takeover offer was not required, followed by the necessary notifications from the European Commission. Bajaj Auto received official confirmation of the completed deal early on November 19, 2025.
Frequently Asked Questions (FAQs)
Q1: What is the new name for Pierer Mobility AG? Following the acquisition by Bajaj Auto, Pierer Mobility AG (PMAG) will be renamed Bajaj Mobility AG.
Q2: How much stake does Bajaj Auto now hold in KTM? Bajaj Auto now holds a controlling stake of approximately 74.9 percent in both Pierer Mobility AG (PMAG) and KTM AG.
Q3: When was the acquisition completed? The acquisition was officially completed on November 18, 2025, after receiving all necessary regulatory approvals.
Q4: Is Pierer Bajaj AG (PBAG) now a fully owned subsidiary of Bajaj? Yes, PBAG is now a 100 percent fully owned subsidiary of Bajaj Auto’s subsidiary, Bajaj Auto International Holdings BV (BAIH).
Q5: What was the value of the transaction? The transaction for the acquisition is reported to be valued at approximately 800 million Euros.
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