Eicher Motors to make US$ 2 billion bid for Ducati

Eicher Motors is reportedly preparing to make a US$ 1.8-2 billion bid for Ducati. The Indian automaker and owner of the Royal Enfield brand, is the only Indian company left in the race to acquire the Italian superbike brand. According to a media report, it is currently finalizing the financing options with banks and consulting firms.

The Volkswagen Group owns the Ducati brand while Audi controls it. It was put on sale following the emissions scandal. The German company has been working closely with Evercore – a boutique investment bank and has valued the motorcycle brand at 1.5 billion euros. The funds from the sale will be used for a complete strategic overhaul at Volkswagen, the report adds.

Last month, it was reported that a 20-member supervisory board comprising of Volkswagen’s labour leaders had blocked the management board’s decision to sell Ducati. Majority stakeholders were also reluctant to give their approval for the sale. Earlier, the VW Group had announced shortlisted bidders but Eicher Motors and Bajaj Auto Ltd hadn’t made the final list.

Source: Economic Times

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