Foundry Linked to KTM Falls into Bankruptcy
The Vöcklabrucker Metal Foundry was controlled by KTM Components and employed more than 100 people
A foundry in Austria that was partly controlled by and supplied components to KTM is set to close after 69 years of business.
Vöcklabrucker Metallgießerei Dambauer GmbH was a family business, with the news outlet OÖNachrichten (OON) reporting that Pierer Beteiligungs GmbH took over around 70 per cent of the business in 2022. The OON reports it had over 150 employees and a turnover of €32 million at the time of the deal, and that it wasn’t just a supplier for KTM either. It’s reported that around half of sales came from KTM while the other half was from third parties. Some components from the factory were destined to end up on some Bavarian bikes from BMW too.
The news of the bankruptcy comes from the creditors' protection association KSV1870, and according to OON Vöcklabrucker, bosses had promises from KTM Components AG that it would be helping to keep the supplier afloat, providing it with the necessary funds to keep the lights on and staff paid - even during the production downtimes that KTM is undergoing.
Sadly there seem to be no plans to restructure the company, which will be a blow to the staff, who are reported to be still owed wages, but also for the family that built the company up, so much so that it would have celebrated its 70th anniversary in 2025. Speaking about the proceedings, Alexander Meinschad from KSV1870, said: "We assume that the debtor company will be closed in bankruptcy court as quickly as possible after a prior examination by the insolvency administrator and that the remaining assets will be utilized in the best possible way.”
In a nutshell, the doors will close, the lights will be turned off and the most likely outcome will be that any physical assets will be sold off to recover losses.
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Simon (AKA Toad) has been working within the motorcycle industry for more than twelve years, and a member of the motorcyclist family since birth. Growing up around British-built single and twins, it was inevitable that a life on two wheels was on the cards, from a very early age!
