Audi acquired Ducati nearly five years ago but it appears the company is exploring selling the Italian motorcycle manufacturer.
According to sources who spoke to Reuters, the VW Group is considering a sale of the company in an effort to cost cut and streamline operations following the massive Dieselgate scandal. We’ve heard this rumor before, but this time, reports indicate Volkswagen has retained the Evercore investment bank to evaluate its options. Furthermore, the report suggests that Volkswagen has already reached out to potential buyers.
Audi purchased Ducati in 2012 for approximately €860 ($937) million. At the time, Audi boss Rupert Stadler declare the company was an “excellent fit” as Ducati had “great expertise in high-performance engines and lightweight construction, and is one of the world’s most profitable motorcycle manufacturers.”
Ducati is still enjoying plenty of success as one source said the company makes about €100 ($109) million annually before interest, taxes, depreciation and amortization. If this number is correct, the company could be worth as much as €1.5 ($1.6) billion.
Should Ducati fail to find a buyer, Volkswagen may consider a stock market flotation to raise funds. However, only time will time.
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