MV Agusta will not develop new products for 2017
MV Agusta is one brand that has occupied wall spaces in every kid’s room. Not only have they made wallpaper material machines, but also credit themselves with producing some of the world’s iconic power houses on two wheels who smack the competition right outside the ballpark.
Their rich heritage both on and off the track and exotic Italian lineage have been through the history’s ups and downs. Doing so, the company switched hands for four times in the past 12 years and have been once owned by Harley Davidson until recently by Mercedes-AMG being a 25 per cent stakeholder.
Despite making gorgeous motorcycles, MV Agusta always seems to find itself under the radar and it never seems to end for the Italian marquee. A couple of months back, it was reported that the company allegedly paid its supplier bills through its employees’ INPS contributions, Italy’s national pension system. Considered to be a white collar crime, it was under investigation by the Guardia di Finanza (Italian white collar wing) for this act and was under scrutiny for a €6.8 million of social security contributions of the employees.
More trouble came in when the company’s major owners, Mercedes-AMG were said to have pulled back after an acrimonious situation, leaving the Italian high and dry. This made MV Agusta to restructure its financial situation and was compelled to cut down its employees from 300 to just 190. They were even planning to cut down operations and production of newly developed motorcycles. And the company was hunting for investments.
Then came the news from Russia, with Love.
In November, the Italian signed an agreement to increase its capital with a Russian investment group-Black Ocean, which is a flagship satellite of Ocean Group holding company. Although no official statements regarding the question ’How much?’ has been made, it is said that it has taken close to 30 to 40 percent of the stakes.