A 2WD Hybrid-Electric Motorcycle for the US Military?

In the coming years, US special forces may be riding a tw0-wheel drive, hybrid-electric, multi-fuel motorcycle co-developed by BRD Motorcycles and Logos Technologies. Helping make this project possible is a Small Business Innovation Research grant from DARPA. The goal is to make a single-track vehicle for US expeditionary and special forces that will be nearly silent in operation, yet also capable of traveling long distances. Details on the proposed machine are light, of course, but it sounds like the 2WD dirt bike will be based off the BRD RedShift MX (shown above), and use an electric drivetrain, as well as a multi-fuel internal combustion engine to achieve its goals.

Colin Edwards Will Retire from Racing after 2014 Season

Announcing his decision during the pre-event press conference for the Red Bull Grand Prix of the Americas, Colin Edwards told the assembled press that 2014 would be the Texan’s last season racing a motorcycle. Citing a lack of improvement on his performance in pre-season testing and at the Qatar GP, Edwards decision perhaps answers the lingering question in the paddock of when the American rider would hang-up his spurs after an illustrious career in AMA, WSBK and MotoGP. Talking about his inability to come to terms with the Forward Yamaha, which Aleix Espargaro was able to take to the front of the pack in Qatar, Edwards was at a loss when it came to understanding the Open Class machine and his lack of results.

MSF Updates Its Basic RiderCourse Curriculum

It is no surprise that statistics from the NHTSA show that motorcycle accidents and injuries are on the rise. According to the 2012 Motor Vehicle Crash report published by the NHTSA, motorcycle fatalities for that year rose to 4,957, up seven percent from 2011, while injuries increased 15% to 93,000. While the NHTSA statistics are misleading because the motorcycle category includes mopeds, scooters, three-wheelers, pocket bikes, mini bikes, and off-road vehicles, new riders need every advantage they can afford. The Motorcycle Safety Foundation has taken notice of these statistics and has revised the curriculum for its Basic RiderCourse to include a new Basic eCourse, which students will take prior to in-person instruction.

Yamaha Trademarks “R1S” & “R1M” at USPTO – “YZF-R1M” Trademarked Abroad – But Why?

Are new Yamaha YZF-R1 models coming down the pipe? That’s the question being asked after trademark filings in the US and abroad tipped off Yamaha Motor’s intention to use “R1S”, “R1M”, and “YZF-R1M” for motorcycle, scooter, and three-wheeled purposes. The filings are being taken as hints towards a possible multiple trim levels of the Yamaha YZF-R1 superbike, with the “S” and “M” designations being different spec machines than the current base model. The “S” nomenclature is a popular one in the two and four-wheeled world, though “M” would certainly be a novel designation, outside of say…BMW.

Bell & COTA Create Texas-Themed Limited-Edition Helmet

Continuing its theme of making limited-edition helmets for premier-class US rounds, Bell Helmets has teamed up with the Circuit of the Americas and Chris Wood, of Airtrix, to create a Texas-themed Bell Star Carbon helmet, just in time for COTA’s MotoGP race next weekend. Available only until April 13th, the Bell/COTA helmet features a red, white, and blue flag motif on the front, with both the American and State of Texas flags visible, which then wrap around the rear to merge with a hardwood design, reminiscent of the floorboards in a Western saloon. The helmet is also crowned with a Longhorn cattle skull, which adds to the Texan motif. The specially designed helmet also features a horseshoe, the COTA logo, and the 2014 Red Bull MotoGP of The Americas logo.

Aprilia Mounting a Return to MotoGP in 2016

Towards the end of the 800cc era, MotoGP looked to be in dire condition. Grids were dwindling, factories were reducing their participation, and teams were in difficult financial straits indeed. By the end of 2011, there were just 17 full time entries, Suzuki was down to a single rider, and were about to pull out entirely for 2012. How different the situation looks today. In a recent interview with the official MotoGP.com website, Aprilia Corse’s new boss Romano Albesiano gave a brief outline of their plans. The Italian factory will continue to work with the IODA Racing team for 2014 to collect data on the electronics and tires, which they will use as input on an entirely new project being worked on for 2016.

This Is Pretty Much What the Monster 800 Will Look Like

With the advent of the Ducati Monster 1200, it was only a matter of time before Ducati’s middleweight liquid-cooled “Monster 800″ would be spotted, and unsurprisingly the machines have a great deal in common. The one big difference seems to be that the 821cc Monster gets a double-sided swingarm, which has become Ducati’s new way of differentiating between its big and medium displacement models of the same machine, see entry for Ducati 899 Panigale. With the spied Ducati Monster 800 looking ready for primetime, and a pre-fall launch isn’t out of the question. Giving us an excellent glimpse into what the Ducati Monster 800 would look like, Luca Bar has again used his Photoshop skills to render up images of the still unreleased “baby” Monster.

Photos of the Mugen Shinden Ni sans Fairings

Given the competitive nature of the electric racing realm, its rare to see the big high-power bikes without their fairings, as teams are reluctant to reveal their secret sauce. Debuting the Mugen Shinden San this past weekend in Tokyo though, Team Mugen did just that, giving us a glimpse into the inner workings of the team’s 2013 race bike, the Mugen Shinden Ni. You don’t have to be an electron-head to get excited by these photos, as any race bike with a carbon fiber frame and swingarm is pretty drool-worthy, though the Shinden Ni’s carbon fiber battery enclosure does hide a great deal of the electric superbike’s geek factor. While the sheer size of the battery bike is impressive, it was expected when the Shinden was first announced.

Mugen Shinden San (神電 参) Electric Superbike Revealed

Mugen’s third purpose-built electric superbike for the Isle of Man TT, the Mugen Shinden San, has been revealed in Japan. Campaigning two machines for this year’s TT Zero race, Mugen has John McGuiness and Bruce Anstey at the helm of its “Shinden San” bikes, as the duo looks for a one-two finish in this year’s race. With MotoCzysz not racing at the Isle of Man this year, Mugen is a hot favorite to take the top podium spots, as well as crack the 110 mph barrier for electrics on the historic Snaefell Mountain Course (Mugen is targeting a 115 mph lap). An evolution on the company’s previous designs, the Shinden San fits 134hp — 10hp more than last year, thanks to a new smaller three-phase brushless motor provided by Mission Motors — into its 529lbs bulk.

Trackside Tuesday: The Winning Personality of Jack Miller

Chatting with a couple of NASCAR fans recently, I was reminded that any competition is boring if you don’t care who wins. But if you do care, then even cars driving around in circles can be very compelling entertainment. Those NASCAR fans really cared about how their favorite drivers finished, and not only how they finished in the latest race, but what and how those drivers were doing off the track as well. Those fans had been captured by the personalities of those drivers. One of the things NASCAR does well is sell personalities. All major sports-related businesses do this to some extent, but some organizations do it better than others.

Ducati Valued at €1 Billion – Acquisition Talks Continue

02/13/2012 @ 11:37 am, by Jensen Beeler8 COMMENTS

Ducati Valued at €1 Billion   Acquisition Talks Continue Ducati 1199 Panigale S tailight 635x444

The big non-racing news today is that Ducati is reportedly up for sale, with a price tag of €1 billion. To be honest, I’m fairly amused by how many emails I found in my inbox on this topic, and by how far this news item is spreading in the motorcycle news sector today. The buzz of course is that Ducati may be purchased by any number of large manufacturing firms, with smart money on a European automaker.

Either asleep at the switch for the past year, or just grossly inept at understanding financial news (guys, there is a big difference between one billion euros and one billion pounds), collectively the motorcycle news industry is reporting on an story that we first published nine months ago like it is a shot out of the dark.

For those that missed our ongoing coverage of the topic, Investindustrial actively spent the better part of 2011 looking to divest its majority position in Ducati Motor Holdings, and was in serious talks with Mercedes-Benz over the acquisition. Our Bothan Spies told us back in April that Investindustrial was very eager to sell Ducati to Mercedes-Benz, while the zie Germans were being very, well German about the whole thing.

With nothing coming to fruition on the Mercedes deal, Ducati again made waves in August when it was reported that the company was interested in making a private stock offering in 2012. Today’s news of course is the logical extension of that announcement, as it is both 2012 and Investindustrial is rumored to be in talks with several possible private buyers for Ducati. While none of this news should surprise anyone, what is of note is the price tag being attached to Ducati is €1 billion.

If this all sounds like a bit of off-season speculation to you, then consider the following statement that comes straight from Andrea Bonomi, the Chairman of the Board at Investindustrial. “Ducati is now a perfect company but the further growth it requires needs the support of a world-class industrial partner,” Bonomi told the Financial Times. “This year, we will work towards that partner.”

If standard manufacturing revenue multiples are holding true to this situation, then this figure puts Ducati’s yearly revenues at over €900 million per year, a pretty tidy sum for an Italian motorcycle manufacturer that only puts out 40,000 units a year. There is no doubt that Ducati had a hallmark year in 2011, and surely Investindustrial is keen on cashing out while on top. Expecting to make nearly three times its investment back on the sale, Ducati is likely to be sold to an automobile manufacturer.

Despite being one of the strongest brands in the business, Ducati’s future is dependent on its ability to continue fueling growth at the boutique company. This will not only require a considerable amount of capital, though Ducati currently has an extremely low debt ratio (1.7x according to Financial Times), it will also need a partner/buyer that knows how to scale industrial tooling and an international manufacturing business.

For an automaker, Ducati is a lucrative purchase, as the EU continues to crack down on carbon dioxide emissions from vehicles on a company-wide basis. With motorcycles being the loophole on that mandate, a company like Mercedes-Benz could have offset the carbon emissions from its larger and sportier cars with the figures from Ducati’s motorcycles. While Mercedes-Benz no longer has its hat in Ducati’s ring, Financial Times is reporting that BMW, Volkswagen, and Mahindra have been rumored to be talking to Investindustrial about a possible acquisition.

Expect to see this story develop further over the course of 2012, and also expect to see what is respectfully called “motorcycle journalism” stumble along through the bigger words of financial and business reporting.

Source: The Financial Times (Google Cache)

Comment:

  1. Marc F says:

    Great reporting.

    I think your estimated multiple is off for a high growth MFG with a very strong brand. I’d expect a 2X to 3X revenue multiple on the valuation which would put revenues at ~€400 million per year. Triangulating bottom up, for 40,000 units sold at wholesale that seems more appropriate.

  2. Now you’re talking like those TPG guys Marc.

  3. Goofasaurus Rex says:

    There goes the potential sales figures for 2012!

  4. 450 says:

    An genius brought a apartment in Moscow for the same price … :))))

  5. Grant Madden says:

    Think they,d take a cheque?Cause it will fill out my portfolio nicely.Next to Park lane and Mayfair.

  6. GeddyT says:

    Marc, I wouldn’t be surprised if Ducati made as much off of jackets and shirts and “lifestyle” products at near 100% profit as they do selling bikes. They’re the Harley Davidson of sport bike companies. Double your revenue estimate wouldn’t surprise me in the least.

    As to a buyer developing the manufacturing process a bit more, I really hope this happens. If Ducati design/performance could be combined with detail engineering, better fit and finish, and an international parts network, it would really be a killer package.

  7. To add fuel to the debate, H-D makes only about 10% of its revenue off t-shirts. Remember it takes a lot of $10 tank-tops to equal one $20,000 motorcycle.

  8. GeddyT says:

    Is that just t-shirts, or does that include dog bowl, do-rags, brand licensing, and co-branding exercises (H-D F-150, for example)?

    Even if so, 10% is a hell of a big chunk in lifestyle crap.