Harley-Davidson buys MV Agusta!

[White trash]

Harley-Davidson today announced the signing of a definitive agreement to purchase the Italian motorcycle maker MV Agusta Group (MVAG).

Under the agreement, Harley-Davidson will acquire 100 percent of MV Agusta Group shares for total consideration of approximately 70 million euros ($109 million), which includes the satisfaction of existing bank debt for approximately 45 million euros ($70 million). In addition, the agreement provides for a contingent payment to Claudio Castiglioni in 2016, if certain financial targets are met.

MV Agusta Group is privately held, with the Castiglioni family owning 95 percent of MVAG shares.

The acquisition is expected to close in several weeks, pending the satisfaction of contingencies and receipt of regulatory approvals. Harley-Davidson intends to fund the transaction primarily through euro-denominated debt.

MV Agusta Group has two families of motorcycles: a line of exclusive, premium, high performance sport motorcycles sold under the MV Agusta brand; and a line of lightweight motorcycles sold under the Cagiva brand.

During 2008 MVAG has significantly slowed production due to financial difficulties.

“Motorcycles are the heart, soul and passion of Harley-Davidson, Buell and MV Agusta,” said Harley-Davidson Chief Executive Officer Jim Ziemer. “Both have great products and close connections with incredibly devoted customers. The MV Agusta and Cagiva brands are well-known and highly regarded in Europe. They are synonymous with beautiful, premium, Italian performance motorcycles,” Ziemer said.

Harley-Davidson plans to continue to operate MV Agusta Group from its headquarters based in Varese, Italy. Following closing, the first priority will be to appoint a leadership team to include a new Managing Director and to resume the manufacture of current models.

Current MV Agusta Group Chairman Claudio Castiglioni will continue in a leadership role as Chairman and will play a major role in future product development. Design Chief Massimo Tamburini will continue his leadership of MV Agusta Group’s world leading sport-bike design studio.

“We take enormous pride in MV Agusta and Cagiva motorcycles,” said Castiglioni. “Our riders seek an uncompromising experience in premium performance motorcycles. And with Harley-Davidson’s deep understanding of the emotional as well as the business side of motorcycling, I have great confidence that our motorcycles will excite customers for generations to come.”

According to Ziemer, the acquisition is intended primarily to expand Harley-Davidson's presence and footprint in Europe, complementing the Harley-Davidson and Buell motorcycle families.

“The acquisition of MV Agusta Group will enhance Harley-Davidson, Inc’s position as a global leader in fulfilling customer dreams and providing extraordinary customer experiences. We look forward to a long relationship with the MV Agusta and Cagiva families of customers and employees,” said Ziemer.

Blatantly stolen from

http://www.mcnews.com.au/NewsArchives/2008/July/hd_buy_mv.htm

[Little Miss Trouble]

Repost :Pokey:
http://www.kiwibiker.co.nz/forums/showthread.php?t=75327

[jrandom]

Not really a repost. Past commentary was only rumours.

I reckon this'll be a positive step for all the brands involved. Good call from HD.

Maybe Tamburini will try his hand at cruiser design...

[White trash]

Repost :Pokey:
http://www.kiwibiker.co.nz/forums/showthread.php?t=75327
Bullshit.

Daves thread said Harley is going to buy MV, mine says H-D has bought MV.

Good to see we have a new "Repost" police woman though, I miss Sniper. Interestingly, if you did a thread title search on "Harley buys MV" or simlilar, it comes back with no matches.

Shit I wish I had the time or lack of life to spend every waking second online studiously reading each and every post........

[Goblin]

"We look forward to a long relationship with the MV Agusta and Cagiva families of customers and employees,” said Ziemer.

I hope this will help improve after sales service down under.

[MD]

I'm looking forward to the collaboration of the two design teams

Lets get them started. Someone geeky please photoshop a F4312RR with looong extended forks, pull back high riser bars, highway forward pegs and TASSLES!!! Lots of tassles flapping in the 312kph breeze

[jrandom]

tassles flapping in the 312kph breeze

That line, right there, pretty much distills the general awesomeness of this whole deal.

[Badcat]

when harley/AMF bought Aeramacchi (sp) in the 70s wasn't Cagiva part of the parcel?
i could be wrong...
k

[Little Miss Trouble]

Bullshit.

Daves thread said Harley is going to buy MV, mine says H-D has bought MV.

Good to see we have a new "Repost" police woman though, I miss Sniper. Interestingly, if you did a thread title search on "Harley buys MV" or simlilar, it comes back with no matches.

Shit I wish I had the time or lack of life to spend every waking second online studiously reading each and every post........

Heh blame Gareth, he MADE me do it:devil2:

[jrandom]

Heh blame Gareth, he MADE me do it

Oh, that's right, you're Gareth's bit. I forgot.

I was going to demand bikini shots be posted in penance for your cockup, but, uh... never mind aye.

:sunny:

[Little Miss Trouble]

Oh, that's right, you're Gareth's bit. I forgot.

I was going to demand bikini shots be posted in penance for your cockup, but, uh... never mind aye.

:sunny:

Last time I checked Gareth wasn't at all worried about flashing pics of me around, though even he hasn't been around for any of my bikini-bike-washing efforts yet :innocent:

[boomer]

Oh, that's right, you're Gareth's bit. I forgot.

I was going to demand bikini shots be posted in penance for your cockup, but, uh... never mind aye.

:sunny:

Why.. you wouldn't appreciate it? You're as bent as a 2 bob note !

What a strange acquisition; not two companies i would have put together; hence i'm not in merges and acquisitions.. huh !

[AllanB]

Overall it should be a good thing for MV and HD as well.

The only thing that worries me is a shit load of 'anniversary' models MV's appearing now!

Note HD is doing 105th anniversary models - what the FUCK is significant about the 105th?

125th maybe followed by 150th.

Sheezz - just more marketing and dollar raking.

[Goblin]

Overall it should be a good thing for MV and HD as well.

The only thing that worries me is a shit load of 'anniversary' models MV's appearing now!

Note HD is doing 105th anniversary models - what the FUCK is significant about the 105th?

125th maybe followed by 150th.

Sheezz - just more marketing and dollar raking.Isn't that what it's all about?:shifty:

[JimO]

cool i will be able to put a HD badge on my cagiva

[Motu]

when harley/AMF bought Aeramacchi (sp) in the 70s wasn't Cagiva part of the parcel?
i could be wrong...
k

Harley bought 50% of Aermacchi in the '60's,and AMF sold Aermacchi to Cagiva,or at least the Castiglioni Brothers.So HD has paid for the company twice....

[doc]

Harley bought 50% of Aermacchi in the '60's,and AMF sold Aermacchi to Cagiva,or at least the Castiglioni Brothers.So HD has paid for the company twice....

HD and MV sort of like chalk n cheese. Don't think its a good thing for MV unless HD only backs them financially. Don't put them in the same salesroom, HD salesmen believe in the product. They haven't done Buell very proud. :blip:

[Ixion]

Hm

Cagiva do V twins. With Suzuki engines. HD make V twin engines. I'm not sure if this is an excitingly good thing or a horrendously bad one.

[Bob]

This is, in terms of synergy between the two companies, a very good move.

This now means that the Harley group has a complete package. And both H-D and MV are "lifestyle" or "aspirational" brands - you want a Harley or an MV specifically, not because you want a cruiser or a sportsbike.

And the H-D/MV tie-up also makes sense in another way. A while back, there were H-D/Ducati tie up rumblings. And at that time, I recall one of the CEOs saying that there was a strong percentage of Ducati owners in the US that would also own a Harley. So now, Harley have their own aspiration sportsbike brand. So want top level sportsbike and a cruiser? Step this way Sir...

If I were in charge of Ducati US, I'd be very concerned at this development.

I'm not quite sure how Buell and/or Cagiva fit in now. Buell has always been the quirky outfit that is accepted as a loss leader, because it draws in younger riders who will move onto the Harley main brand as they get older. But Cagiva could also fit into that arena as well. And perhaps using Cagiva to make more "mainstream" bikes means that Buell might not be as useful any longer?

[Motu]

In the Agusta family crypt the lid of a coffin is pushed aside - the Count is pacing the floor....and he needs blood....

[old git]

Yet another death of a real motorcycle company, bought out by an advertisement company {after all it makes more profit from the "extras and advertisement than bikes}, now we will be stuck with good promotions of an outdated badly made bike, rather than a real bike that they didn't know how to sell.

[Badcat]

Yet another death of a real motorcycle company, bought out by an advertisement company {after all it makes more profit from the "extras and advertisement than bikes}, now we will be stuck with good promotions of an outdated badly made bike, rather than a real bike that they didn't know how to sell.

oh bollocks.
do you think the MV is anything more than a cagiva with a brand they BOUGHT to lend them some heritage and credibility?
CRC sold the ducati brand, and they needed something cool for their top end bikes (great bikes too - i've owned a couple of ducatis and a raptor 1000)
what's the difference between that and the new purchase?

if HD isn't a real motorcycle company, i'd really like to hear what you thought was....

[Badcat]

cool i will be able to put a HD badge on my cagiva

no less sad than people putting ducati stickers on cagiva alluzuras in the 80s.

[JimO]

no less sad than people putting ducati stickers on cagiva alluzuras in the 80s.

hmmmmm i was joking:Pokey:

[raftn]

In the Herald today, HArley has just announced the purchase of MV. ...................can't wait to see the new models!

[dwnundabkr]

thought you all might want to read
Associated Press - July 11, 2008 9:55 AM ET

MILWAUKEE (AP) - Harley-Davidson said today it's buying an Italian motorcycle maker for about $109 million.

The purchase of MV Agusta Group will boost Harley's presence in Europe.

The company says the purchase prices includes existing bank debt for about $70 million.

Under the agreement, Harley-Davidson will also pay Claudio Castiglioni additional payments in 2016 if certain financial targets are met.

MV Agusta is privately held, with the Castiglioni family owning 95% of the shares. Claudio Castiglioni will continue to serve as chairman.

MV Agusta makes a line of premium sport motorcycles under its name brand and a line of lightweight motorcycles under the Cagiva brand.

Harley-Davidson said it will operate the company from its headquarters in Varase, Italy. The company said it will appoint a new managing director once the deal closes.

The acquisition is expected to close in several weeks.

Harley-Davidson said it will fund the deal through euro-denominated debt.

[Swoop]

I must find out where I can buy shares in a chromium company...
The value is going to skyrocket...:whistle:

[southernmike]

A very quick photo...

100464

[AllanB]

Two new 2010 models are on their way

[scumdog]

I could live with that first one on the post above.
Of course it would need more tassles to get me REALLY interested!!:laugh:

[AllanB]

I could live with that first one on the post above.
Of course it would need more tassles to get me REALLY interested!!:laugh:

He he - actually I'd posted it as a piss take but the more I look at it - its actually OK and then you think about the performance ..... nice.

I'd like to see a inline 4 bruiser of a cruiser again - the B-king styling leaves me cold.

[munterk6]

tell me...why do people take the piss out of HD?
as my brother said when he lashed out 28k for a mobile "image", nah, ya gotta ride it mate, fook its fast! I didnt even bother replying:innocent:
if HD go any further than financial management, God help us all. Chromed up MV's, makes me shudder thinkin bout it:crazy:

[buellbabe]

I'm not quite sure how Buell and/or Cagiva fit in now. Buell has always been the quirky outfit that is accepted as a loss leader, because it draws in younger riders who will move onto the Harley main brand as they get older. But Cagiva could also fit into that arena as well. And perhaps using Cagiva to make more "mainstream" bikes means that Buell might not be as useful any longer?

Loss leader???? Its thanks to Buell that Harley went fuel-injected. HDs have benefitted greatly from Buell technology and Buell has benefitted by having big financial backing. Its been a win-win partnership and Buell is firmly established in the marketplace!

BTW its been my experience as a former HD owner and now a Buell owner that most Buell riders seem to be older...they have been riding a while and are looking for a 'fun' bike.

Harley has long had an Italian connection (already explained earlier in this thread... ) Hell!!!! PORSHE was involved in the development of the V-Rod engine! So this is yet another very smart move by a company that is a world leader in marketing!

As for the silly remarks about potential design horrors...get real, the essential brands will remain separate but its inevitable that there will be shared technology and thats gotta be a positive thing for all concerned.