P1racenews AI automatic summary:
It has been revealed that creditors have approved Pierer Industrie AG’s restructuring plan after proposals were agreed. This plan being accepted could lead to KTMs survival after debts were reported to exceed €2 billion. In addition, it was reported that around 2,500 claims have been made by its own employees. On Thursday, these plans were […]
KTM’s survival may hinge on the acceptance of this plan as it grapples with debts exceeding €2 billion and faces approximately 2,500 claims from its employees. The Wels Regional Court in Austria approved the restructuring plan, allocating €247.5 million for full payment. This marked the first implementation of the procedure in the country since its introduction in June 2021. The company is committed to repaying 68.69% of its debts by December 2026 and 2027 due to the support of over 20 external investors injecting nearly €900 million. A critical vote on the plan will take place before the MotoGP season opener in Thailand, with 30% of the outstanding debts expected to be settled by the end of May to prevent bankruptcy. Considerable investment, around €150 million, is necessary to lift the freeze on production and MotoGP activities, and an additional €600 million is crucial to meet the repayment targets.
