After getting his first offer to purchase Moto Morini rejected by the local unions, Paolo Berlusconi looks to have overcome the setback, and could finalize the purchase of the other Bologna brand by as early as next week. This news comes after provincial administrators called an emergency meeting, which resulted in some concession by Berlusconi.
At the center of the controversy is the number of workers Berlusconi will keep on at the Bologna-based plant. According to reports, this number has been increased from 20 to 26, out of total of 57 workers who worked at the plant before it entered into receivership. This concession does not come without consequences though.
While Berlusconi seems to be giving up some ground in that regard, the effective result of the union’s blockage is only hurting the company further. It’s expected that Berlusconi’s original offer of €2.9 million, will now be lowered considerably as Moto Morini has now gone into liquidation. Berlusconi will also likely reduce his offer in order to account for compensation to the proposed laid off workers. So while six additional jobs have been saved at the company, its purchase price has been greatly affected by the posturing.
While production is expected to stay in Bologna, at the Moto Morini factory, it’s entirely clear that production of Moto Morini bikes will continue there. Hopefully we’ll know more next week about the state of the sale, and the future of this Italian brand.