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Fiat Rumored to Buy MV Agusta

MV Agusta sport motorcycles 1 photo
Photo: MV Agusta
Industry winds brought in a whisper on Fiat’s alleged interest in buying the Italian bike manufacturer MV Agusta. While at the time of writing, neither of the two companies was willing to comment on the affair, we might just get to see the Italian automotive industry in the north of the country tightening the bonds and planning to make bolder moves.
Following in the footsteps of Audi, which bought Ducati, Fiat might be looking forward to owning a bike subsidiary, even though MV Agusta is not exactly the kind of booking business. Still, the Varese bike manufacturer is in a much better shape than it was before 2010. After Mr. Castiglioni bought MV Agusta from Harley-Davidson, he managed to get rid of all the debts which plagued the financial profile of the bran, but finding the money needed for a very solid new stage in the development of the brand wasn’t easy.

(initial public offering) plans were also taken into account, but it looks like they’ve been abandoned for the immediate future. Still, in case Fiat buys MV Agusta, the bike manufacturer might just have enough money to continue on the road the Claudio Castiglioni and his son Giovanni set out.

Even more, as MV Agusta is one of the old European sport bike manufacturers and comes with a respectable tradition in road racing, Fiat could also get some more lift and benefit from the racing mojo of the Varese vehicles.

Fiat buying MV Agusta could turn into a very profitable win-win-win scenario, even though the car manufacturer will definitely need to spend big money to help MV Agusta transform into a high success-rate business. And looking at the numerous new 3-cylinder machines MV Agusta has surfaced during the last 12 months, it’s easy to see that solid financing could make things work much better. Why a win-win-win scenario? Well, because the riders are part of this, too.

Via A&R.
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