Investment from Russian firm Black Ocean Group might help stabilise the MV Agusta brand
MV Agusta’s financial troubles have been out in the open for quite some time now. In fact, superbike maker recently came under the microscope when the Italian law enforcement agency found them to be misusing employees’ INPS contributions (Italy’s National Pension Scheme) to pay off its suppliers. But now it seems that the situation might improve for the Italian brand as they have now signed a Black Ocean investment group to recapitalise the brand. Black Ocean, headed by Oliver Ripley and Timur Sardarov, is the investing arm of Ocean Group.
While the company is yet to share the specifics of the contract, fresh funds coming in is sure to help it get back in line with its suppliers and employees and resume development and production of future models. Alternatively, MV Agusta has also been looking to part ways with Mercedes-AMG by buying back the shares it holds. To ensure that this happens, the brand would have to cover its €15 million loan amount, before finding more investment for keeping the brand alive.
Speaking about the deal, MV Agusta CEO Giovanni Castiglioni said, “I am very pleased that we have reached this agreement with Black Ocean. Beyond the strengthening of our capital, which is important for the future growth of MV Agusta, I strongly believe that Mr. Sardarov, Mr. Ripley, and their global team will be able to contribute with their entrepreneurial and managerial skills in the consolidation of MV Agusta as a key player in the super premium motorcycle market.”
After registering a growth of 30 percent in 2015, in January this year, MV Agusta had secured a loan of €15 million loan from SACE and Banca Popolare di Milano (BPM). This loan was to be used in expanding its business operations in the foreign market including the United States, Brazil and South-East Asia. It was only after securing this loan that the Italian bike maker entered the Indian market in March this year. The company introduced the brand to Indian enthusiasts with the launch of the F3, F4 and the Brutale 1090.