Published on October 22nd, 2014 | by Daniel Sherman Fernandez0
Daimler To Buy In 25% Of MV Agusta
Daimler is in advanced talks to take a minority stake in Italian motorcycle manufacturer MV Agusta. The source said no deal had been finalized but it could involve Daimler buying a stake of 20 to 25% and helping the company expand outside Italy, where it makes one fifth of its sales, through an investment plan. The source also said MV Agusta was not looking for a financial investor but an industrial partner that can help it expand overseas. Daimler and MV Agusta declined to comment.
Daimler would buy a 25%stake of Agusta via its AMG performance cars unit for around 30 million euros (USD39 million), with an option to raise its holding in exchange for further investments, citing financial sources in Milan. Buying a stake in Agusta would give Daimler access to a range of high-performance three-cylinder engines which the Italian company has developed for its superbikes. Interest in these lighter gasoline-fuelled engines has increased as tougher anti-pollution rules force automakers to use lightweight technology, including for compact engines used in hybrid vehicles. Earlier this month Daimler said it would introduce 10 new hybrid vehicles by 2017.