Stefan Pierer Steps Down as KTM CEO
Summary
Stefan Pierer has stepped down as CEO of KTM AG and the Pierer Mobility Group, transitioning to a Co-CEO role alongside Gottfried Neumeister, who brings extensive corporate management experience to the position. Pierer, who has been pivotal in transforming KTM from a regional player into a global motorcycle brand since 1992, will remain on the Executive Board. His resignation comes amidst profound financial challenges for KTM, including ongoing insolvency proceedings that have prompted significant restructuring efforts.
Neumeister aims to uphold KTM's legacy while pushing for innovation and performance improvements in motorcycle production. The company has faced a staggering 29% drop in group sales and has initiated a workforce reduction of 1,800 employees to cut costs. With debts approaching 1.8 billion euros, there are pressing concerns from creditors as KTM plans to divest several brands to raise capital. A crucial creditor meeting is scheduled for January 24, where key decisions on debt repayment will be made, with further developments expected by February 25.