If you ever wanted to become a motorcycle mogul, here's your chance: Ducati is up for sale. Investindustrial SpA, a private equity investment firm based in Milan, Italy now owns Ducati Motor Holding SpA but is considering selling the legendary Italian motorcycle manufacturer to a rival or to an industrial partner. It could bring it $1.3 billion dollars or 1 billion euros.
Can you imagine owning one of the most iconic brands in motorcycle history? "Get my naked carbon fiber Desmosedici ready, I want to ride the test track today." WHAT?! This information about a possible sale is reported to have come from "well-connected" sources. Investindustrial SpA had previously indicated that it may put Ducati up for an IPO (initial public offering) in Q3 (third quarter) June of this fiscal year.
Who Will Buy Ducati?
Rumors have been floated that VW AG and Bayerische Motoren Werke AG could be "possible" buyers. After being queried on the possible sale, though, BMW stated that it was "currently" not interested in acquiring Ducati. Volkswagen chairman Ferdinand Piech, a Ducati owner himself, admitted regretting not acquiring Ducati back when it could have been bought "for peanuts," as he put it.
There are also said to be a number of other companies, including one American motorcycle manufacturer (Harley-Davidson), interested in Ducati. Some insiders think that Ducati would be a good fit for Harley - they purchased legendary Italian manufacture MV Agusta a couple of years ago to help with plans for European expansion. Harley sold MV Agusta in 2010.
The Value of Ducati as a Company
Gabriele Del Torchio, CFO (chief executive officer), said in November that Ducati's global market share had risen from 8.5% to 10.7%. In North America, Ducati sales grew 43% from 2010 to 2011. This and its legendary status will no doubt make Ducati a very desirable mark.
So call up your broker and tell him to move some notes because you are going to need to liquidate come capitol. If you want to become an industrial motorcycle mogul, start dialing before that kid that is on "lock down" in his crib calls his broker at ETrade.