IS TIME RUNNING OUT FOR GAS GAS?
In an official document, written in Spanish and signed by both KTM AG Director Hubert Trunkenpolz and Cesar Rojo the Director of KTM Sportmotorcycles Spain, KTM have announced that they have ‘no intention to acquire the brand Gas Gas’.
With speculation growing within Spanish media regarding the options open to Gas Gas as it seemingly struggles to raise the finances needed to pay off its debts, it’s written that the company’s debt stands at around 24 million Euro. A reported immediate payment of five million Euro is needed in order for the debt to be refinanced. This refinancing of the debt (apologies if weve said the word debt a few too many times already!) is needed in order to reactivate production at the factory.
With KTM keen to distance themselves from any possible investment or buy out options regarding Gas Gas, little is known about what Gas Gas’ options are or the timescale they have in which to find investors in order to repay the monty they owe.
Here’s hoping they’re able to dig themselves out of hole they’re in and resume normal day-to-day manufacturing activities.
The below is a direct translation of the official KTM letter…
In reference to the rumors of the last several days which continued in the form of articles published in certain media, we in KTM AG would wish to make clear that there is no intention by our company to acquire the brand Gas Gas.
KTM AG group is for the time being fully dedicated to its two brands, KTM and Husqvarna, extending the current model range, while maintaining the high level of innovation and developing a large number of projects planned in the short and medium term in the enduro, motocross and street segments, totally disregarding the incorporation of new brands to the group.
Director KTM AG
Director KTM Sportmotorcycles Spain