Polaris Buys 24% Of KTM

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There is alot of technology to share (ie reduce R&D costs). Examples include: four stroke motors (Hbg), EFI on 4T's, EFI on 2T's (Polaris has this), quads (HUGE market). Also, this allows KTM to make KTM's in north america and thus not take a beating on the euro/USD exchange. I'm really starting to beleive that KTM will become an engine supplier to other brands, or licenser of technolgies.
 
I agree with TM, this could only mean good things for the brand. As for Husaberg, let us hope it doesn't get swept under the carpet. Let us hope we benefit too.

-Parsko
 
I think this could turn in to a very good move for KTM and Polaris in that they do complement each other very well, and really don't compete in any market right now.

However, I don't necessarily see this as a good thing for the Husaberg brand. Polaris is a very profit hungry company right now and is not afraid to "sweep things under the carpet" if they don't think they can be profitable. Ex: 6 months ago they decided to get out of the watercraft market altogether after spending big bucks on 2T EFI as mentioned above and on a Turbo 4T both engines were developed solely for the watercraft market.

BTW, KTM already has 2T EFI also in their 125 and 250 Roadracers. Production can't be too far away.

We will just have to wait and see how this all shakes out. I bet no significant announcements or changes for 8-12 months.
 
It all appears to be backwards here.I can see what is good for KTM in this deal,someone to sell their engines and Technology to.A established manufacturing facility in the U.S. market,easy entry into the ATV industry....BUT...it was Polaris that purchased 24% of KTM with cash from their credit line.Whats in it for them that would make them spend that kind of cash,if they want engines KTM would just sell them,you don't have to buy a part of the company.I understand that KTM shares are not spread very thin so no control was achieved.At this point it looks like the shareholders of Polaris industries have played Santa Claus to the shareholders of KTM.Stay tuned there is more to this deal than we know..nsman
 
Parsko said:
I agree with TM, this could only mean good things for the brand. As for Husaberg, let us hope it doesn't get swept under the carpet. Let us hope we benefit too.

-Parsko
Click to expand...

If Polaris gains majority control in 2yrs, I would be very concerned that Berg will be sold off or just folded if they cant find a buyer. They are a profit driven company and Berg is an expense, not a profit centre.
 
been there, done that....

having watched threads like this before on this site when Husaberg was doomed to be shut down, I can only say that it is completely useless to speculate, theorize or debate on whether Husaberg will be sold, auctioned, shut down, drawn & quartered, beaten, murdered with the candlestick in the drawing room, or anything else that you guys can come up with.

Let's revisit the bike's fate in 2 years when and if something happens.

However, I am very excited to see the new options available to Husaberg, for instance jet propulsion, 2 stroke engines and ski kits ;)

thanks,
json
 
Hmmm.....

KTM now has a cool $80 burning a hole in its pocket.
KTM doesn't makes quads but polaris does (a friend has one, good 4x4 quad).
Polaris doesn't make dirt bikes, KTM does.

The way I see it this will solve a very big problem. As KTM is still a small company compared to the "BIG 4" their bikes are usually sold side by side at a Japanese bike dealership which causes hemorrhaging of some sales dollars to the "BIG 4" companies.

Now KTM combined with Polaris and Husaberg should provide enough choices to warrant a stand alone dealership without having to include other brands.

In the near future you may not be able to acquire a KTM dealership (or Polaris for that matter) without taking on the other brands. New dealerships will emerge carrying only these three brands and eventually there will be a common name recognition between the three. "Big 4" dealerships will eventually drop KTM as the screws get tightened and they are Forced :) to carry the new full line and will be unable to due to space constraints.

I see this further strengthening KTM-Polaris-Husaberg as they will no longer be considered a side show but now a headliner.
 
I offer myself as an Global internal management Director to Polaris-KTM-Husaberg company to be sure that all love each other and do not spent money on overlapping costs ....

If someone knows someone, here is a Finnish-english-italian speaking motorcycling-skiing-snowmobiling entusiast for rent !

:D
 
If you have a polaris quad, carry a tow rope.
The fire council in my families county rents every brand during fire season and polaris has the highest rate of fatality.
I have had some friends who were engineers at Victory.
Their engineering dept was marketing driven, not performance, quite frustrating for an engineering team that wants to make a better bike.
Doesn't seem to be a complimentary fit for KTM, I am curious to see how this drama plays out.
 
SFO said:
Their engineering dept was marketing driven
Click to expand...

Well, there's no change there then :wink: What successful and profit making company isn't?

IIRC Husaberg's department used to be engineering driven, went bust and was saved by KTM.
 
:D Like it says they will share technology and polaris needs more of it. If you look at Suzuki and Kawasaki (I apologize for the use of bad langauge 'S' and 'K') merge, some production products are mechanical the same, but different colors. Thats growth, when small companies merge together and work as a team to become big.
The AG in KTM means it is owned by private banks/investors?
Ford owns a portion of Volvo and the Volvo new V-8 engine/drive train is made by Yamaha. 8O
 
I'm sorry guys, but the truth may be much less fun and dramatic than it would appear at first blush.
Taken from the article written in the last post;
"Additionally, Polaris and KTM Power Sports' largest shareholder, Cross Industries AG ("Cross"), have entered into option agreements which, under certain conditions in 2007, either Cross may purchase Polaris' interest in KTM Power Sports AG or, alternatively, Polaris may become the majority shareholder of KTM Power Sports AG. In the latter case, the majority of the purchase price to Cross will be settled in Polaris shares and Cross will become a significant shareholder in the combined Polaris/KTM organization. Cross' principal shareholders are KTM CEO Stefan Pierer and KTM CFO Rudolf Knünz....

A bulletin from KTM to it's dealers spells it out much more clearly - KTM and Polaris are already owned by the SAME TWO GUYS!
Just rich people moving tokens around on the board, no more or less.
It may also make KTM american enough to import products from the EEC and escape some tarriffs while simultaniously allowing Polaris to take advantage of KTM's very effective global marketing infrastructure.
P.S. Our hearts go out to you in England today. Best Wishes, Alan
 
I have an amendment to my last post;

I had a long talk with Roy at BMG. He believes that Polaris and KTM are independently owned.
Every press release including the one in Cycle News this week has used the exact same wording as in the highlighted sentences above.
My sincerest apologies if I mis-interpreted what should have read “Polaris and KTM have entered an agreement. KTM’s main shareholders are…â€Â
 

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