Bajaj Auto announced on Friday that the Austrian Takeover Commission has approved its subsidiary’s acquisition of Pierer Mobility AG, the holding company of KTM AG, without requiring a mandatory takeover bid to other shareholders.
Through its wholly-owned subsidiary, Bajaj Auto International Holdings BV (BAIH), the Pune-based two-wheeler manufacturer currently holds a 49.9% stake in its associate Pierer Bajaj AG (PBAG) in Austria. The remaining controlling stake in PBAG is held by Pierer Industrie AG, which owns nearly 75% of Pierer Mobility AG (PMAG).
In a regulatory filing, Bajaj Auto stated that on October 23, 2025, the Austrian Takeover Commission confirmed the restructuring privilege allowing BAIH BV to acquire control without the obligation of a mandatory takeover bid to PMAG shareholders. The company also received approvals from merger control authorities across relevant jurisdictions and the Foreign Investment Control in Austria.
Bajaj Auto had initially announced in May 2025 its plan to acquire management control of PBAG, and by extension PMAG and KTM, through BAIH BV. The subsidiary intends to acquire all 50,100 shares held by Pierer Industrie AG in PBAG, based on agreements executed in April and May 2025, subject to regulatory approvals related to merger, subvention, and investment controls.
The move aligns with Bajaj Auto’s strategy to participate in KTM AG’s restructuring, following a plan approved by the Austrian bikemaker’s creditors. Bajaj Auto’s Netherlands-based subsidiary is exploring multiple options to support KTM’s judicial restructuring, including a €566 million loan from offshore lenders to fund the process. In February 2025, Bajaj Auto’s board approved an investment of up to €150 million (₹1,364 crore) in Bajaj Auto BV to support strategic opportunities, with capital infusion to be made in tranches through March 31, 2026, based on requirements.
Market Reaction: The announcement has fuelled speculation that Bajaj Auto may increase its stake in KTM AG to stabilize the financially stressed Austrian brand. Shares of Bajaj Auto rose 0.57% to ₹9,091.50 on the BSE following the news. The acquisition further strengthens Bajaj Auto’s partnership with KTM, giving it a strategic foothold in Europe while supporting the revival of the iconic Austrian motorcycle maker.
, while Pierer Industrie AG controls the rest and owns nearly 75% of Pierer Mobility AG (PMAG). On October 23, 2025, the Austrian Takeover Commission approved BAIH BV’s acquisition of control without a mandatory takeover bid, with additional approvals obtained from relevant merger and foreign investment authorities.){kind=link}