DirtRider . Net MX, SX, Arena Cross, Off-Road Community
Dirt Rider . Net Text Version Home
Dirt Bike Dirt Bike Dirt Bike Dirt Bike

This is the text version of DirtRider.Net
Click Here for the Full Version


Pages: 1

Polaris buys 25% of KTM more to come

(Click here to view the original thread with full colors/images)

Posted by: oldguy---------------------

The story from www.cyclenews.com at http://www.cyclenews.com/ShowStory.asp?HeadlineID=7922

From the story:

"The following release is from Polaris...


Polaris Industries Inc. (NYSE/PSE:PII) announced today that it will purchase a 24-percent interest in Austrian motorcycle manufacturer KTM Power Sports AG, formerly known as Cross Holding AG, and partner with KTM on several important strategic projects. The goal of the partnership is to strengthen the competitive position of both companies and provide tangible benefits to customers, dealers, suppliers and shareholders.

During the first phase of the partnership, each company will continue to be run separately, but will work together on several specific cooperative projects involving new product development, engine technology sharing, distribution, manufacturing, and purchasing.
.................
Additionally, Polaris and KTM Power Sports' largest shareholder, Cross Industries AG ("Cross"), have entered into option agreements which, under certain conditions in 2007, either Cross may purchase Polaris' interest in KTM Power Sports AG or, alternatively, Polaris may become the majority shareholder of KTM Power Sports AG. In the latter case, the majority of the purchase price to Cross will be settled in Polaris shares and Cross will become a significant shareholder in the combined Polaris/KTM organization. Cross' principal shareholders are KTM CEO Stefan Pierer and KTM CFO Rudolf Knünz. The exercise price under both option arrangements are based on market-based, predetermined pricing formulas to be derived from operating results of both companies in 2007.

"I believe this partnership will provide substantial benefits to both Polaris and KTM, and both company's dealers, employees, suppliers and shareholders for many years to come," said Tiller. "We have long admired the success of KTM, and are excited about working together to strengthen both companies. Polaris can benefit from KTM's substantial experience in motorcycles, an outstanding brand, leading technology, and a solid manufacturing presence and dealer network in Europe. Moreover, this relationship complements nearly every aspect of Polaris' five-year strategic vision, which is a roadmap to make Polaris the most dominant brand in the powersports industry. Further, we believe the two-step approach we have outlined significantly lessens the cultural and execution risk associated with a partnership of this magnitude."

"In essence, this partnership combines the substantial strength, passion, and success of two industry leaders with very similar, successful 50-year histories, but who do not compete directly today. It is a very natural fit for both of us," added Tiller.

Mr. Pierer commented, "Polaris and KTM complement each other very well, and we are very excited about our new relationship. By joining forces, we believe we can strengthen KTM's presence in North America, reduce our production costs, spread our development costs over a larger base, and substantially accelerate our entry into the ATV business. We also look forward to sharing both chassis and engine technology with Polaris. The KTM and Polaris teams should work well together - both companies are driven by innovation, passion, and demand success."


Posted by: XRpredator---------------------

yay! my 4-wheeler and my bike are related now!


Posted by: Tony Eeds---------------------

Quote:
Originally Posted by XRpredator
yay! my 4-wheeler and my bike are related now!


They are in-laws.

An orange quad ... now that is interesting. Let's hope the cross breeding doesn't lead to kids with six toes.


Posted by: MX-727---------------------

KTM quads and snowmobiles


Posted by: Rich Rohrich---------------------

Polaris has a really strong reputation for looking at an existing product, determining it's flaws and working hard to improve the design. Their manufacturing and engineering capabilities are world class. This could prove to be a real adavantage for KTM's new designs.


Posted by: ChopperDave---------------------

Does that mean I have to buy a quad now?


Posted by: RYDMOTO---------------------

what will the new bikes be called? POLAKTMS?


Posted by: Rich Rohrich---------------------

You should be the marketing manager Roy


Posted by: Vic---------------------

Quote:
Originally Posted by ChopperDave
Does that mean I have to buy a quad now?


How about one of these?

http://www.bikez.com/bike/21468/index.jpg


Posted by: xsnrg---------------------

100% speculation: I could see the Quads going KTM, but the snowmobiles would be a stretch do the brand history of Polaris and snowmobiles. I think the watercraft would stay Polaris also. Keep the things with wheels and the things that float or skim in seperate categories. Bet the sport quad is the first noticeable creation in the KTM lineup.


Posted by: XRpredator---------------------

Quote:
Originally Posted by xnrg
Bet the sport quad is the first noticeable creation in the KTM lineup.

you mean like one of these, with maybe a 520 EXC mill?
http://pi54.com/atv/modelimages/05P...00tl_studio.jpg


Posted by: gwcrim---------------------

Seems like a perfect fit. As they said, there is no overlap and they're both respectable industry players. Just sharing the distribution channels on either side of the pond would be a big "Victory". (sometimes I kill myself.)


Posted by: ChopperDave---------------------

Quote:
Originally Posted by Vic


NO, definately NOT! I have a reputation to think about. What would all my biker buddies say? Ack!


Posted by: Vic---------------------

Quote:
Originally Posted by ChopperDave
NO, definately NOT! I have a reputation to think about. What would all my biker buddies say? Ack!


You don't mean the "Ride a Harley or Die" crowd, do you?




Posted by: ChopperDave---------------------

Quote:
Originally Posted by Vic
You don't mean the "Ride a Harley or Die" crowd, do you?



I'd rather wear a thong! I'll bet ya like that huh Vic!


Posted by: JPIVEY---------------------

KTM and VW teamed up for a limited edition 450 EXC, looks good


Posted by: captblue1---------------------

Quote:
Originally Posted by xsnrg
I think the watercraft would stay Polaris also. .


they discontinued the watercraft lineup last year. wasn't profittable


Posted by: twoofeach---------------------

Wow, now they can boast of a quad that blows up.


Posted by: SFO---------------------

reposted from husaberg.org...

I'm sorry guys, but the truth may be much less fun and dramatic than it would appear at first blush.
Taken from the article written in the last post;
"Additionally, Polaris and KTM Power Sports' largest shareholder, Cross Industries AG ("Cross"), have entered into option agreements which, under certain conditions in 2007, either Cross may purchase Polaris' interest in KTM Power Sports AG or, alternatively, Polaris may become the majority shareholder of KTM Power Sports AG. In the latter case, the majority of the purchase price to Cross will be settled in Polaris shares and Cross will become a significant shareholder in the combined Polaris/KTM organization. Cross' principal shareholders are KTM CEO Stefan Pierer and KTM CFO Rudolf Knünz....

A bulletin from KTM to it's dealers spells it out much more clearly - KTM and Polaris are already owned by the SAME TWO GUYS!
Just rich people moving tokens around on the board, no more or less.
It may also make KTM american enough to import products from the EEC and escape some tarriffs while simultaniously allowing Polaris to take advantage of KTM's very effective global marketing infrastructure.


Posted by: Vic---------------------

Quote:
Originally Posted by ChopperDave
I'd rather wear a thong! I'll bet ya like that huh Vic!


Did someone say, "THONG" ?!

http://www.sierratradingpost.com/ec...7/M_67397_1.jpg

Can't get enough, can ya Dave?

http://www.satinandlace380.com/ImgU...9737_561791.jpg




Posted by: MWEISSEN---------------------

I read it a little differently. I can see a Polaris with a KTM 450 engine to compete with Yamaha, Honda and Suzuki in the high performance ATV market. This may kill a KTM quad.


Posted by: Gary B.---------------------

Ah, I can see it now, a belt-driven Polaris dirt bike making gobs of dust as it plods along the trail at a break-neck 13 MPH with it's wife-beater t-shirt wearin', helmet-less rider sippin' on a cool one. How do you install racks and a trailer hitch on a dirt bike?


Posted by: y_a_m_a_h_a_2005---------------------

I Think Thats The Wrong Kind Of Thong But Really Close Id Rather Were That Anyways Then The Other Ark Ark Ark



Text Version Home





vBulletin Copyright ©2000 - 2009, Jelsoft Enterprises Limited.
vB Easy Archive Final ©2000 - 2009 - Created by Stefan "Xenon" Kaeser