KTM rumored to buy Gas Gas

The latest rumor in the motorcycle industry sees Austrian maker KTM allegedly interested in buying Gas Gas, a Spanish bike manufacturer which has been not faring too well in the last year or so at the beginning of February we reported once more on the financial troubles Spanish manufacturer Gas Gas was struggling with. Production had come to a halt, with some 500 workers remaining in standby and expecting CEO Yariv Gilat to find a way to solve the company’s lack of liquidities.

Is KTM buying one more off-road bike company?

If the rumors turn out to be true, Gas Gas is the third European manufacturer of off-road motorcycles which arrives under the KTM umbrella, with the other two being Husaberg and Husqvarna. While most people feared that KTM will in fact kill Husqvarna to avoid cannibalizing its own products, CEO Stefan Pierer knew better.

Past efforts to add more lucrative efficiency to Gas Gas saw a joint operation with Spanish maker Ossa, bringing the production in a single facility, but it looks like this was not enough. If KTM steps into the game, the future might look much brighter for Gas Gas, as they will also benefit from KTM’s dealer network integration and infusing their bikes with whatever there is to learn from the other three brands should also boost performance.

Anyway, until we get firm news from Gas Gas or even KTM, we’re still deep in rumor territory. Something tells us that accountants and lawyers in Mattighofen are rather busy these days. Or is it just the spring wind?