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March 2012

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It has been almost a year now since we broke the news that Ducati Motor Holding was up for sale, and I still can’t tell if the appropriate metaphor for the ongoing acquisition is a game of musical chairs or Russian roulette. Vying for a seat or putting the chamber to its temple, our latest contestant in “Who Wants to Buy Ducati” is Audi, the four-ringed German car manufacturer. Reported to have a right of first refusal, Audi allegedly has until mid-April to finalize a deal with Investindustrial (Ducati’s main investor) to buy Ducati from the Italian investment group.

Though Ducati sold over 40,000 motorcycles in 2011, the Italian company has roughly €800 million in debt on its books. This means that any company interested in buying Ducati would have to assume the Italian company’s debt onto its own books, which changes the actual purchase price of Ducati dramatically. For its part, Audi is rumored to be making an offer in the €850 million range, which would put the actual purchase value of Ducati at over €50 million, and could put as much as €100 million on the table for Investindustrial to take.

News of a possible MotoGP round in Austin, Texas sent GP fans in the United Stats into a flurry, but the proposed third US round has been anything but a sure thing since its announcement, and continues to be so even after the signing of a 10-year contract. Trouble first started brewing as the Circuit of the America’s had trouble finalizing its deal with Formula 1, a deal that was the linchpin to the circuit’s financing. With the issues with F1 resolved, and the premier car racing series set to take the green flag at Austin later this year, MotoGP seemingly is having the same problem of coming to Austin.

Reported by the local Austin news site the Statesman, the issue is both complex and relatively simple. As with Formula 1, the rights to host MotoGP at the Austin track reside with Full Throttle, a promotion company owned in part by Tavo Hellmund, who in turn was a partner of the Circuit of the Americas (COTA) project. When last year Formula 1’s contract with Hellmund was found to be in breach, F1 Boss Bernie Eccelstone terminated his contract with Hellmund, which then sent the F1 deal at Austin into a tailspin, and caused COTA to deal directly with Formula 1 in securing the racing series.

With Hellmund also being the bond that tied MotoGP to Austin, the same issue has arisen with COTA and Dorna, the media rights holder to the MotoGP Championship. According to court documents, Hellmund alleges that COTA had an opportunity to buy the rights to host MotoGP for $18 million from Full Throttle/Hellmund when it bought the similar rights to Formula 1. Clearly unable to close that deal at the time, unless the Circuit of the Americas can secure those rights in the coming months, the Austin GP scheduled for 2013 will likely not be held.

The last time Motus Motorcycles graced the pages of A&R it was August 10th of last year — yes, I actually went back thru the pages to check that date. Since that time, the American motorcycle startup has been busy getting its sport-tourer finalized and ready for production. Launching the Motus MST prototype at the 2011 Daytona Bike Week, Motus Motorcycles will be returning to the Floridian biking event this year to announce its production plans, pricing, and availability of its American made motorcycle.

While we’ll have to wait to hear from Motus for its official plans, we expect to hear something along the line of a production run of under 300 units, with pricing in the $30,000+ range. Certainly exclusive, it remains to be seen if Motus can sell such an expensive sport-tourer without the gadgets and gizmos that normally accompany that market segment. Featuring the gasoline direct injection (GDI) 1,645cc KMV4 engine, the Motus MST will make over 160 hp from the power plant, which is also being sold as a crate motor.

For the past day I have been plunking away at a spreadsheet, adding in values found in several years’ worth of press releases. You see, while most motorcycle manufacturers go out of their way to hide sales information in their media communications, they still leave enough clues that allow one to decipher these pieces of information in their entirety. A monthly figure here, a quarterly result there, a percent gain over last year mentioned, and you’ve got your self five or more months of sales data extrapolated.

That being said, there is no need to go through this much work to know that Husqvarna has been having a rough couple of years. Even by just taking a straw poll from any of the BMW Group’s many glowing sales reports, you’ll find a three to four sentence paragraph outlining the continued disappointment that the Italian-based Swedish brand has brought the German company. Often not even cracking four-digit monthly sales figures, Husqvarna has been on a sales decline that has spawned BMW Motorrad’s decision to push the once dirt-only brand into the street bike scene.

In its most recent media communication, the BMW Group has praised Husqvarna’s sales success over the past two months. With the subsidiary posting a 50% gain in January, and a 2% gain in February, Husqvarna has thus far this year posted a 15% gain over the first two months of 2011. All is well for Zie Germans, no? You know the setup, continue reading for the take-down.

The weight increase in the MotoGP class introduced for 2012 – from 153kg, as originally agreed when the 2012 regulations were drawn up back in August 2010, to 157kg – has had many repercussions. The addition of 4kg to the 1000cc MotoGP machines has been blamed for causing the chatter that Honda’s RC213V suffers from, and for complicating the pursuit of the ideal weight distribution for both Honda and Yamaha, which the two Japanese factories had spent most of 2011 perfecting ahead of the 2012 MotoGP season.

The decision was taken in a Grand Prix Commission meeting held on December 14th of 2011 in Madrid, and though it drew little comment at the time, once the MotoGP paddock reassembled at Sepang for the first test of the year, some intriguing details started to appear. Crash.net’s Peter McLaren has an excellent reconstruction of the decision process, from which it is clear that the path to adoption the proposal faced was far more complex than usual. It also reveals some of the underlying tensions in both the Grand Prix Commission and the MSMA which will go on to play a major role in the rule-making process for 2013 and beyond.

BMW Motorrad released yet another glowing sales report, as the German brand continues to build steam and market share in an otherwise luke warm and uncertain marketplace. Boasting a 1.8% worldwide sales increase in February and a 5.6% year-to-date (YTD) sales increase, BMW Motorrad has sold 12,078 motorcycles worldwide thus far in 2012. While the gains are modest at best, the news that BMW has found a way to grow despite the economy is something we have talked about ad nauseam. As such, I almost skipped this press release all together for our coverage, but then I saw a quote from Hendrik von Kuenheim, BMW Motorrad’s General Director.

After consistently struggling in the World Superbike Championship, Kawasaki finally seems to have all its duck in a row for the 2012 season. Teething the recently updated Kawasaki Ninja ZX-10R over the course of last season’s races, Tom Sykes and Joan Lascorz made it clear at the season’s opening round at Phillip Island that Team Green can contend for podium finishes and even race victories against the mighty Ducati of Carlos Checa and Aprilia of Max Biaggi.

With Sykes starting at the pole position after the cancellation of Superpole qualifying, the Englishman lapped in the position in both races at the Australian track. Battling with a very strong Honda factory team, Sykes even squeaked out a great victory over fellow countryman Johnny Rea, securing a podium finish for Kawasaki on the team’s first outing of the season. Clearly excited by that start, Kawasaki Racing has put out a video of the team’s weekend at Phillip Island. Check it out after the jump.

While a handful of MotoGP riders get the lion’s share of media attention, other riders can only wonder what might have been if they had landed in the premier class on more competitive machinery. With five 250cc wins, Randy de Puniet joined the Kawasaki MotoGP team in 2006, and switched to the LCR Honda team after two seasons. In 2011 he managed a season best 6th on the Pramac Ducati, another victim of the bike only Stoner could tame.

Most folks in the MotoGP paddock acknowledge de Puniet’s abilities and raw speed, and he is also as tough as they come, riding around injuries with impressive courage and determination. De Puniet has reunited with the Aspar Team for 2012, and will explore the future of the CRT formula. If the first-year Aprilia-powered Aspar CRT bike is not competitive, it won’t be for de Puniet’s lack of trying.

Two weeks and two separate rumors about Hero MotoCorp’s acquisition warpath. Last week the Indian motorcycle manufacturer was said to be eyeing a minority equity stake in Erik Buell Racing. Having already hired the American sport bike maker to help innovate on some of Hero’s upcoming small displacement machines, the two companies sweetened the deal with Hero becoming the title sponsor to EBR’s AMA Pro Superbike racing effort.

This week the spotlight shines on Ducati Motor Holding, which has quietly been for sale for almost a year now. Originally wooing an acquisition from Mercedes-Benz, the Italian motorcycle manufacturer has been linked to a variety of other companies, as well as a public offering on an Asian stock index. With our sources telling us that Ducati has been trimming the fat from its books in order to make its earnings more attractive, Hero MotoCorp is the latest potential buyer to enter the fray and to talk to bankers about a Ducati acquisition.

Thought to be a Honda in disguise, the Mugen Shinden (??) broke cover this weekend at the 50th anniversary celebration of the Suzuka Circuit. While the Shinden leaves a bit to be desired visually when compared to the Honda RC-E concept that debuted at the Tokyo Motor Show, underneath the bland white fairings is a carbon fiber chassis with 122 hp on tap, and a curb weight of 573 lbs. With that much weight on board, Mugen’s electric superbike is sure to have a massive battery pack, which should give MotoCzysz, Lightning, and other 2012 TT Zero contenders a run for their money…the £10,000 that is still up for grabs to the first team to crack a 100 mph lap.

Piloting the Mugen Shinden around the 37.733 mile TT course will be none other than “King of the Mountain” John McGuinness. The seventeen-time TT race winner has been keen on racing the electrics for some time now, and his involvement with the Mugen squad only adds more credibility to the belief that Honda is using the tuning outfit as a front to race its electric in a low-pressure situation (McGuinness is a contract Honda rider with the Honda TT Legends squad). Interviewed at the Morecambe Football Club, McGuinness added even more linkage between the two Japanese companies when he refered to the project as the “Mugen/Honda” electric bike.

UPDATE: Added more information & technical specifications from Mugen’s press release.

This morning we learned that John McGuinness will be Mugen’s rider in the team’s bid to break the 100 mph barrier at the 2012 TT Zero. Heavily speculated to be a stealth project by Honda (?? / Mugen was started by Hirotoshi Honda, the son to Honda founder Soichiro Honda), much speculation has been done over what sort of bike Mugen would be bringing to the Isle of Man TT, and now we have that answer.

Called Shinden (??), meaning “God of Electricity” in Japanese, the machine may not have the same exquisite lines of the Honda RC-E electric superbike concept, but upon closer inspection, Mugen’s electric race bike seems like a wolf in sheep’s clothing. Breaking cover at a press conference in Suzuka, the Mugen Shinden features a brushless three-phase 90 kW (120hp) DC motor, carbon fiber swingarm, and a carbon fiber twin-spar frame design.