Eicher Motors-owned two-wheeler maker Royal Enfield has reportedly been approached by Italian superbike manufacturer Ducati for an acquisition. Ducati parent Volkswagen has roped in banking agency Evercore to explore the options for a sale. Estimates peg the valuation of the Italian superbike maker at 1.5 billion euros, according to a report in The Times Of India.
The Ducati buyout, if it takes place, can help Royal Enfield stamp its authority in global markets. The company is already working its way become the top bikemaker globally. The Italian company boasts of bikes with engine capacity between 800cc and 1,200cc. Royal Enfield can get a boost through a buyout as it doesn’t have 800-1200cc bikes in its portfolio.