If you haven't been following along as we cover KTM's current predicament, where have you been? For the uninitiated, KTM essentially screwed itself a couple years back, as Pierer Mobility AG—the company's parent company—went on a spending spree that'd make a lottery winner blush.
It bought everything, including new manufacturing facilities, new brands, and spent hundreds of millions on new motorcycles, parts, and gear. But it was all done at a time when the market was slowing down. When people stopped buying high-priced bikes and traded them for small-displacement, cheap motorcycles or just didn't buy anything new altogether. KTM essentially shot itself in the foot by not seeing the forest for the trees and, at present, is about $3 billion in debt, has a full year's worth of unsold motorcycles sitting on dealership lots, and is going through insolvency restructuring where it very well will likely get sold off to the highest bidder or broken up into parts.
Last week, it re-sold MV Agusta back to its most recent owners after less than a year of owning a controlling stake.
