Bajaj Auto Gets Austrian Commission approval to Take Control of KTM Parent Company

The Austrian Takeover Commission confirmed that Bajaj Auto International Holdings B.V., a wholly owned subsidiary of Bajaj Auto Limited, can proceed with acquiring control of Pierer Bajaj AG. The decision recognizes the move as a restructuring exercise under Austrian takeover law and exempts BAIH from making a mandatory takeover offer to shareholders of Pierer Mobility AG.

Background to the Restructuring

Bajaj Auto had earlier informed stock exchanges of its plan to gain sole management control of Pierer Bajaj AG (PBAG), a move arising from the ongoing restructuring of KTM’s ownership structure. BAIH currently owns 49.9% of PBAG, with the remaining stake held by Pierer Industrie AG (PIAG). In May 2025, BAIH signed a call option agreement with PIAG and Pierer Konzerngesellschaft mbH (PIKO) to purchase the remaining shares, pending regulatory approvals across multiple countries.

The restructuring process required clearances from several national and international regulators.

According to Bajaj Auto, approvals have been obtained from merger control authorities in Austria, Poland, Colombia, Saudi Arabia, the United States, and Turkey, as well as under Austria’s Foreign Investment Control framework. The only pending clearance relates to the European Commission’s review under the EU’s third-country subsidies regulation.

While granting approval, the Austrian Takeover Commission has imposed conditions to ensure transparency and protect minority shareholders. BAIH must report the completion of the call option and any related transactions to the Commission and to Pierer Mobility AG’s general meeting. Additionally, all transactions connected to this acquisition involving entities linked to Bajaj Auto and Stefan Pierer must be disclosed through December 2026.

BAIH has informed the Pierer Mobility AG board that it expects final regulatory clearance by November 10, 2025. Once all conditions are met, BAIH plans to exercise its option to acquire the remaining 50,000 shares in Pierer Bajaj AG, which would give it sole control of Pierer Mobility AG - the parent company of KTM, Husqvarna and GASGAS motorcycles.