As expected from yesterday’s news, Audi’s Board of Directors has approved the German car company’s acquisition of Ducati Motor Holding. While the grumblings from Ducati owners have already emerged over the news breaking yesterday, in reality the move is a boon for Ducati, which will receive access to an almost limitless bank account, global business expertise, and advanced manufacturing techniques.
Selling 42,000 motorcycles last year, Ducati has typically struggled to sell more than 30,000 units annually, a figure which is highly regarded as the Italian company’s break-even point. Historically selling under that amount, Ducati has racked up considerable debt from its operation, hence why nearly a quarter of the company’s purchase price is going to its outstanding financial liabilities.
For Ducati owners and Ducati fans around the world, the acquisition by Audi and the Volkswagen Group should be met with more resounding praise, as it means an increased layer of stability has been added to the Italian brand. While the hyperbole has been flowing online, we imagine that the first motorcycles sales success to come from the company post-acquisition will silence any resistance to the company’s new German ownership.
As irrelevant as that metric actually is in business terms, the reality is that Audi’s influence over Ducati will take several years to be fully realized, as it takes a considerable amount of time for new products to come to market, and business plans to be implemented. Press releases from both Investindustrial and Audi are after the jump.