This looks like the end of the road for motorcycle manufacturer Gas Gas, as the Spanish brand entered into liquidation today, after its bankruptcy proceedings failed to find the €30 million necessary to pay the company’s creditors.
The news is timely, as today interested parties in owning Erik Buell Racing (or parts of it) will be placing their bids on the similarly wayward company.
Back in Spain though, the news is troubling for Gas Gas fans, as the company’s assets will be liquidated, with the hope of raising enough money to pay-off the company’s creditors.
The future of the brand is uncertain. While the owners of Gas Gas Motos SA hope that the brand will continue to live on, it’s doing so would likely require it being purchased by a wealthy investor, who would be able to structure repayment schedule with the brand’s creditors on whatever leftover debt remains.
A letter from Gas Gas Motos SA is below:
Dear customers, partners and friends,
We will contact you to give you news about the current situation of the company.
As you know, in recent months the company of renegotiating its debt several times in order to continue production. Unfortunately, despite the efforts made ??to achieve this goal, it was impossible to find an agreement and finally the decision was made ??to put the company Gas Gas Motos SA in bankruptcy.
In this process, management, accounts receivable and trade unions working together to get all the necessary information to proceed as soon as the sale of the factory and quickly reach agreement with potential buyers.
The purpose of the sale of the plant is to revive the brand in a way that will allow us to continue to produce our enduro and trial in the future, but also to ensure stability and sustainability.
During the sales process, we will join our efforts to ensure the services in spare parts and after-sales department in order to avoid penalizing our customers.
Gas Gas sincerely thank you for your support during these difficult months and hope you share his total conviction of a positive outcome in the process of selling the plant.
Source: Gas Gas Motos SA via Acidmoto.ch