Bajaj Auto Limited announced that its wholly owned Dutch subsidiary, Bajaj Auto International Holdings BV (BAIH), received approval from the Austrian Takeover Commission to acquire control of Pierer Bajaj AG (PBAG) and, indirectly, Pierer Mobility AG (PMAG) and KTM AG. This decision allows Bajaj Auto to proceed without making a mandatory takeover bid to PMAG shareholders.
The Austrian Takeover Commission confirmed on October 23, 2025, that BAIH’s acquisition of control in PBAG qualifies as a restructuring under Section 25 of the Austrian Takeover Act. Consequently, BAIH is exempted from launching a mandatory offer to the shareholders of PMAG.
The approval follows a series of global regulatory clearances, including merger control approvals from Austria, Poland, Colombia, Saudi Arabia, the USA, and Turkey, along with Austria’s Foreign Investment Control.
Currently, BAIH holds a 49.9% stake in PBAG, while the remaining 50.1% is owned by Pierer Industrie AG (PIAG). The latest approval enables BAIH to exercise its call option agreement to purchase 50,000 shares held by PIAG, giving it sole control of PBAG and indirect control of PMAG and KTM.
The approval comes with specific conditions. BAIH must inform the Takeover Commission immediately upon the non-prohibition of the merger under Regulation (EU) 2022/2560 and the fulfilment of all call option conditions. Additionally, it must publicly announce the change of control in PMAG and disclose transaction details to both the Takeover Commission and PMAG’s general meeting.
Furthermore, any agreements between BAIH (or its concerted entities) and Dipl. Ing. Stefan Pierer (or his concerted entities) related to the acquisition must be reported to the Takeover Commission by December 31, 2026.
Read More:Bajaj Auto’s KTM Takeover Nears Completion with Major Cost Cuts in Progress!
All key merger and foreign investment control authorities have approved the transaction. Notably, approvals were received from Austria’s Bundeswettbewerbsbehörde on July 7, 2025, Poland’s PCA on July 16, 2025, and the USA’s Federal Trade Commission on August 29, 2025. The only pending clearance is under the EU’s Third Country Subsidies Regulation 2022/2560, which is expected shortly.
On October 24, 2025, Bajaj Auto share price opened at ₹9,070.00 on NSE, above the previous close of ₹9,047.00. During the day, it surged to ₹9,099.00 and dipped to ₹9,012.00. The stock is trading at ₹9,079.00 as of 2:21 PM. The stock registered a marginal change of 0.35%.
Over the past week, it has declined by 0.78%, over the past month, it has moved up by 2.72%, and over the past 3 months, it has moved up by 9.54%.
The Austrian Takeover Commission’s approval marks a critical milestone for Bajaj Auto’s international restructuring. Once the final EU clearance is obtained, BAIH is expected to exercise its call option by mid-November 2025, gaining full control of Pierer Mobility AG and strengthening Bajaj Auto’s global presence in the motorcycle segment.
Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Investments in securities are subject to market risks. Read all related documents carefully before investing.
Published on: Oct 24, 2025, 3:14 PM IST
Team Angel One
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