BMW Reorganizes Motorcycle Unit, Agrees to Sell Husqvarna

11 years, 9 months ago - 1 February 2013, Wall Street Journal

BMW AG said it is “realigning” motorcycle business to include expanding its lineup and focusing more on vehicles that support what the company calls urban mobility and e-mobility.

The changes include an agreement to sell its Husqvarna unit, which specializes in high-performance off-road motorcycles, to Pierer Industrie AG, an Austrian company with links to the KTM motorcycle brand. The companies did not disclose the purchase price. The deal is subject to anti-trust approval.

BMW’s motorcycle unit, called BMW Motorrad, posted record sales in 2012, mostly from its traditional sport, touring, enduro and roadster motorcycles. Last year the company also entered the urban market with the C 650 GT and C 600 Sport large scooters. BMW said it plans to launch an electric scooter in 2014 that it currently calls the “C evolution.”

The company said it is also considering other new power plants including environmentally-friendly combustion engines and pure electric systems. BMW has been developing electric scooters in recent years as part of a strategy to expand its use of electric power in a range of two- and four-wheel vehicles.