Volkswagen group is still stuck in the aftereffects of emission scandal of 2015. The losses in the form of recall cost and fines are so high that they are in talks of selling the niche Italian superbike brand, Ducati. The brand is highly profitable and would make an easy deal when compared to all other brands under the group.
Volkswagen has also committed for a greener future and progress in this phase seem to happen least under the Ducati moniker. After Royal Enfield and Hero MotoCorp being tagged as potential buyers, a news report from Reuters hints that Harley Davidson and Bajaj are also in this buying race.
Bajaj seems to be an unsuitable candidate for this game. They already own a large stake in KTM, which comes out as another European brand and a potential Ducati rival. They have worked hard together to make KTM a popular name in superbikes around the world.
Even though the brand was depleting with passing days, Bajaj made it profitable through Indian production and brand expansion. The question here is, why would Bajaj buy another brand that is more like KTM in terms of performance motorcycling? They may soon reveal the whole story through a press statement.
Harley Davidson, on the other hand, is an 114 year old cruiser specialist that has been known for owning sport bikes brands around the world. They were once the owner of Buell Racing and MV Agusta, both later sold to different brands.
The typical Harley Davidson customer will never get confused between them and Ducati, helping them run both the business houses independently. Volkswagen has hired advisory firm Evencore for the procedure while Harley Davidson consulted Goldman Sachs for the same. The rough idea of Ducati’s value fall around 1.5 billion euros while results for the bid could arrive in July 2017.
