Harley-Davidson and MV Agusta sign acquisition deal

.
.
Filed under: Earnings/Financials, Motorcycles



Last month we brought you confirmation of Harley-Davidson's impending take-over of the MV Agusta Group in a deal valued at $109 million. The two parties have now signed the deal, leaving only regulatory approval to proceed with the acquisition.

Although MV Agusta built nearly 6,000 motorcycles in 2007, production has slipped dramatically this year as the company was over-run with debt. Part of Harley's take-over involves the payment of some $70 million in MV Agusta's outstanding debts. Harley-Davidson announced that Claudio Castiglioni, the current chairman of the group, which also includes Cagiva motorcycles, as well as chief designer Massimo Tamburini, will remain in their posts and the company will continue to operate out of its headquarters in Varese, Italy. However, Harley-Davidson intents to appoint a new management team for MV Agusta, including a new managing director. With such measures in place, we're sure that the partnership between Milwaukee and Varese can only lead to good things for both companies.

[Source: Harley-Davidson]

Continue reading Harley-Davidson and MV Agusta sign acquisition deal



Permalink | Email this | Comments



More...

Go figure. The previous rumor of Harley-Ducati was scary and beyond imagination, now this is a fact.

Not being a fan of either make, I'll still be interested in seeing how they handle the deal-

Will salesman 'Bluto' have to brush up his product knowledge and walk from one side of the sales floor to the other?
Would he actually ride an MV to understand its dynamics? (Without being dead first, that is...)
Will there be separate dealerships?
Would the average (if there IS such a thing) MV client be served well by a Harley dealership?
Sure, many Harley dealerships are now boutiques, the staff of same are usually professionals, but I still can't get my head around the concept!!!

-T_T

Now this is really cool...Beer gutted fashion victims riding unreliable not quite ready Italian fashion bikes. I just love it!