Don’t shoot the messenger… again! After a dust-up with the Austrian media, KTM’s parent company responded to the claims that creditors were making claims. Despite the ill-timed dateline, here is the latest update on KTM verbatim from Pierer Mobility Group:
Wels, April 1, 2025
PIERER Mobility AG: Further funds secured for the resumption of production at KTM
Allegations made by a major Austrian credit institution in the media are incorrect
The company announces that KTM AG has already secured another EUR 50 million to finance the ramp-up of the production. As planned, the production resumed on March 17, 2025.
As reported by online media, a credit institution has called for an amount of around EUR 65 million from comfort letters issued by PIERER Mobility AG for the KTM Group and demanded payment of this amount.
Under the comfort letters, the company has no obligation to provide funds for the benefit of the credit institution and firmly rejects the alleged claims. The allegation that money is being abstracted from creditors is incorrect.
On February 25, 2025, the creditors of KTM AG approved a restructuring plan quota of 30%. The investor process to finance this restructuring plan quota and the further operating business of KTM Group continues. The cash quota, including procedural costs, of approximately EUR 600 million must be paid to the restructuring administrator by May 23, 2025.
Legal Notice
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