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What Does the €1.3 Billion KTM Industries Want With Puello’s Pexco?


WELS, Austria – After last Tuesday’s announcement by Pexco GmbH that it has joined forces with KTM Industries AG, the question is what this joint venture entails? What does the €1.3 billion KTM Industries AG want from Pexco GmbH which will be headed by the Puello’s, and in which the family has a majority share in?

What Does the €1.3 Billion KTM Industries Want With Puello’s Pexco?
This is Husqvarna: motocrossers and enduro’s. Under Puello’s Pexco umbrella also in e-MTB’s by end of 2017. – Photo Husqvarna

Apart from the named questions, finally after numerous rumours popping up on what Susanne and Felix Puello would do in e-bikes after they left Accell Group’s Winora it’s now clear. Last July they have founded, in cooperation with KTM Industries AG, the new company Pexco GmbH as Bike Europe reported. 

Puello eMobility Crossover Company

Pexco stands for ‘Puello eMobility Crossover Company’. In a German regional newspaper named ‘Main Post’ Susanne Puello states that the Puello family has a majority shareholding in the Pexco joint venture with KTM Industries AG.

The company is headquartered in Schweinfurt, like Winora which Susanne Puello headed up to the end of March of this year. With her and her husband Felix, who managed Winora’s product development department, leaving also a number of other Winora Group employees left. At that time it was already rumoured that they left to become part of a new e-bike company to be founded by the Puello’s.

Pexco GmbH already has an online presence at Here Pexco is named as an ‘Associated brand of KTM Industries AG’.

KTM Industries into urban e-mobility?

In a press statement it is said that the vision of the Pexco company is “Taking the technology lead in zero-emission for lightweight vehicles and, together with the international specialist bicycle retail industry, reaching the next level in e-mobility.”

To turn that vision into reality the ‘strategic partnership’ between KTM Industries AG and Pexco GmbH encompasses everything from development and design all the way to the manufacturing of bicycles and e-bikes.

However, what is striking is that KTM Industries’ 2016 annual report doesn’t say anything on the company venturing into urban e-mobility including making e-bikes and e-MTB’s; products that value-wise are completely different from the high priced sports motorcycles KTM Industries markets under its KTM and Husqvarna brand names.

Pexco to market Husqvarna

Under the Pexco umbrella two e-bike brands are to be launched end of this year. The names of these brands will be revealed at a press conference taking place at the upcoming Eurobike show. This is stated in the Pexco press release dated August 1. However, as said, KTM Fahrrad GmbH affirmed that one of the two brands will be Husqvarna.

On August 1 KTM Fahrrad MD Stefan Limbrunner was quick to reveal that. He named Husqvarna as one of the two Pexco brand names as his company is selling KTM branded e-bikes and e-MTB’s. He understandably wants to avoid any miscommunication on his brand name.

KTM Fahrrad versus KTM Industries

It has to be noted here that Zürich, Switzerland stock market listed KTM Industries AG has nothing to do with the bicycle market leader in Austria, KTM Fahrrad GmbH. Both companies have a shared history but already decades ago a split took place between the bicycle part of the company and the one for motorcycles. Currently they operate completely independent with KTM Fahrrad offering bicycles and e-bikes and KTM Industries that markets high priced sports motorcycles – including 2 electric motorcycles – as well as Husqvarna branded motocross and Enduro motorcycles.

Annually KTM Industries AG sells over 200,000 motorcycles making this company bigger than BMW and Triumph in powered two-wheelers in Europe. And when looking a bit closer into what KTM and Husqvarna stand for with regard to motorcycles it’s quite clear that both are off road specialists. But taking into account the fact that the KTM brand name can’t be used and regarding the comment made by Stefan Limbrunner it leads to the conclusion that Pexco is to launch e-MTB’s under the Husqvarna brand name end of this year.

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