Car Magazine: Audi to Buy Ducati
Report says debt-laden motorcycle manufacturer could be had for little cash; VW head Piech wants 2-wheelers.
By Joshua Condon 7 hours ago
We're going to help churn the rumor mill along here a bit: Car magazine is reporting that Ducati has put an exclusive offer of sale to Audi, giving the VW subsidiary first dibs at picking up the iconic motorcycle brand for a reported $1.2 billion or so.
Ducati produces around 40,000 bikes per year, and its debt burden is said to outpace revenues. It's been reported that Volkswagen Group head Ferdinand Piech has been pining after a reputable 2-wheel badge in his stable; the acquisition of Ducati would be especially sweet, as rival Mercedes-Benz's AMG division has a cross-brand promotional partnership with the motorcycle manufacturer.
According to Car, there are other suitors for the brand, but they can't come to the table unless Audi declines: "India's Mahindra and Hero, Daimler and Volkswagen are said to be among the leading suitors, but Car can reveal that Audi has struck an exclusivity deal giving it first dibs on Ducati," the site reports.
Also according to Car, Audi has until mid-April to finalize the deal -- and in terms of cash output, it's a fairly small one. In exchange for absorbing nearly $1 billion in liabilities, Audi could pick up Ducati for a mere $100 million to $200 million.
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