KTM trademark dispute – bicycle division remains independent

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KTM trademark dispute - bicycle division remains independent
KTM

KTM trademark dispute - bicycle division remains independent

KTM trademark dispute - bicycle division remains independent

KTM trademark dispute - bicycle division remains independent

KTM trademark dispute - bicycle division remains independent

4th pictures

KTM trademark dispute - bicycle division remains independent
KTM

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KTM Fahrrad GmbH is independent of Stefan Pierer’s KTM Group.

KTM trademark dispute - bicycle division remains independent
KTM

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In the eMobility sector, KTM has to switch to Husqvarna and Raymon for bicycles.

KTM trademark dispute - bicycle division remains independent
KTM

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Stefan Pierer still has to forego the KTM trademark rights in the bicycle sector.

KTM trademark dispute - bicycle division remains independent
KTM

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Husqvarna has been part of KTM since 2013.

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KTM trademark dispute – bicycle division remains independent

KTM is still not allowed to sell KTM bicycles
First proceedings in favor of KTM Fahrrad completed

The KTM trademark rights remain divided. The first legal proceedings were probably concluded to the disadvantage of Stefan Pierer’s KTM Industries AG. The expansion of the e-bike area is still being pushed.


Fabian Dresler

06/13/2019

KTM is not the same KTM and it stays that way for the time being. In order to understand what that means, a brief look back into the history of the brand is necessary: ​​In the insolvency proceedings of KTM Motor-Fahrzeugbau in 1991, the bicycle and motorcycle divisions were separated. Stefan Pierer took over the motorized area with a holding company and left the KTM Fahrrad Group to the Salzburg dealer Hermann Urkauf, whose ex-wife Carol Urkauf-Chen is the current owner. Your KTM Fahrrad GmbH is entitled to the sole use of the trademark rights in the bicycle sector and Pierer’s KTM Industries-Imperium is not allowed to use its own brand in this environment. The CEO’s takeover intentions have so far been unsuccessful and he is likely to be particularly annoyed today that he did not acquire the non-motorized area back then.

KTM bike is growing all the time

Because the bicycle business has been booming for several years with constant double-digit growth rates. E-bikes and pedelecs in particular are so popular that KTM Fahrrad GmbH can hardly keep up with production. Urkauf-Chen’s company intends to produce 150,000 e-bikes this financial year – all of which were sold off at the end of 2018 – and recently invested 20 million euros in new production halls and a logistics center. Everything financed from your own cash flow.


KTM trademark dispute - bicycle division remains independent


KTM

Therefore Urkauf-Chen sees no reason to negotiate a merger with Pierer. The KTM Industries boss had repeatedly expressed interest in a takeover and, in the direction of KTM Fahrrad, announced at the end of last year that the brand would have to come home sometime and despite some differences of opinion with Urkauf-Chen, people always came together in conversation. Such a meeting is far from in sight, the trademark dispute remains. KTM Fahrrad recently announced that two legal proceedings in Germany had already been concluded in its favor. KTM Industries AG will probably have to continue to rely on other brands on the bicycle market.

Husqvarna as an alternative

Pierer is currently expanding the production of e-bikes and pedelecs. His temporary solution is called Husqvarna, the brand that KTM took over from BMW in 2013. He also entered into a joint venture with the German company Pexco and sells e-bikes under the Raymon brand in addition to Husqvarna Bicycles. A total of 80,000 e-bikes are to be sold this year.


KTM trademark dispute - bicycle division remains independent


KTM

The CEO announced that soon a quarter of KTM’s total sales will be generated with e-bikes. This also includes smaller electric motorcycles. With its Indian partner Bajaj, KTM is currently developing a platform for electric two-wheelers with an output of three to ten kilowatts, which would be in the scooter and moped area in terms of output. Production is scheduled to begin in India in 2022. It remains to be seen under which name these bikes will be launched.

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