Audi is in advanced discussions to purchase the motorcycle manufacturer Ducati. Building on from a successful 2011 Audi is looking to expand their horizons in the automotive and world and fulfil their great potential. Both Audi and Ducati sources have confirmed the news.
Ducati sales yearly
Ducati motorcycle sales average around 40,000 annually. In terms of the sport motorcycle market, the Italian company have a 9 per cent market share.
The VW Group already strong in the car and van market
The Volkswagen Group, who own Audi are aiming to become the largest car producer and overtake General Motors by 2018? Clearly the Group are not satisfied with that target alone. Volkswagen have also purchases truck manufacturers MAN and Scania in an attempt to dominate the truck market. They will have a strong say in the motorcycle market if Audi’s acquisition of Ducati is successful.
Audi not short of money
The complete details of the deal are not fully known as everything is at very early stages. The total cost of the deal has not yet been revealed. Audi will not be short of money to complete the purchase. Last year’s profits were higher than BMW despite finishing as the third largest luxury automotive manufacturer. Total profit resulted in €5.3 billion, making almost half of the Volkswagen’s total profit of €11.3 billion
Putting pressure on BMW
BMW, Audi’s main rival at present are already dominant within the motorcycle market. Competing with BMW at this scale may help the company in the car market too.
Others to join the bike market
The likes of MINI, Renault, Nissan and Smart have joined the two wheeler market. Audi’s move is seen as a natural progression following a sudden rush in growth over the last few years.
This is not the first time that Audi have had the chance to purchase Ducati motorcycles. Ferdinand Piech, the chairman of Volkswagen confirmed that the group had an earlier chance to purchase the company and regrets that the deal was so successful.
Audi are not the only ones. Other companies have also let their interest be known in purchasing Ducati. However it is believed that Audi have the upper hand at the moment with discussions at an advanced stage.
At the moment Investindustrial control Ducati are acquiring the company in 2008. All three companies have declined to comment on the matter officially dismissing it as market speculation.