IndIa’s Royal EnfIEld makEs bId foR ducatI
Offers up to US$2 billion to Volkswagen Group for Italian brand, but unions might be slowing the process
The owner of Royal Enfield, the Indian motorcycle maker known for its small-displacement bikes that have changed little since the company was created in 1901, has reportedly made a bid to purchase the Italian motorcycle manufacturer Ducati from the Volkswagen Group, according to the Economic Times newspaper.
Enfield is owned by Mumbai-based Eicher Motors, which reportedly offered up to US$2 billion to purchase Ducati.
Volkswagen put out bid tenders for the Italian brand earlier this year, and Eicher is believed to be the only Asian firm still in the bidding process, which closes at the end of this month. Also believed to be still in the bidding is Harley-Davidson.
Resistance from German trade unions seems to have put the bidding process on hold for now. But if they are worried about how an Indian company will carry on the legacy of Ducati, they need not look further than Jaguar Land Rover, which has flourished since being bought by Tata in 2008 and has remained in British factories.