EANS-News: KTM Power Sports AG / Capital increase completed successfully

>> strengthening of equity base by about EUR 43 million through the
issue of
2,529,000 new bearer shares
>> additional liquidity
reserve for innovative future projects and the entry of
new
markets

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Corporate news transmitted by euro adhoc. The issuer/originator is solely
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Restructuring & Recapitalisations

Subtitle: >> strengthening of equity base by about EUR 43 million
through the issue of 2,529,000 new bearer shares >> additional
liquidity reserve for innovative future projects and the entry of
new markets

Mattighofen (euro adhoc) - 16.04.2010 - KTM successfully completes a
capital increase against contribution in cash and contribution in
kind.

Capital increase against contribution in cash and contribution in
kind completed successfully The capital increase against contribution
in cash amounts to EUR 29,750,000.00. Consequently, the share capital
was increased by EUR 1,750,000.00 through the issue of 1,750,000
bearer shares at a par value of EUR 1.00. Only already existing
shareholders enjoyed subscription rights. New shares without a
subscription right were taken over by Bajaj Auto International
Holding B.V.

At the time the capital increase against contribution in cash was
decided upon, also the capital increase against contribution in kind
was fixed, increasing the share capital by EUR 779,000.00 through the
issue of 779,000 bearer shares at a par value of EUR 1.00 each. The
capital increase took place against contribution in kind by CROSS
Finanzierungs GmbH through a claim of loan receivables in the nominal
amount of EUR 12,200,000.00 including interest and by Mr. Hans-Jörg
Hofer through a claim of loan receivables in the nominal amount of
EUR 600,000.00 including interest in both cases towards the
KTM-Sportmotorcycle AG. The issue price per share amounted to EUR
17.00. The volume of the capital increase against contribution in
kind equals EUR 13,243,000.00.

Through the capital increase both against contribution in cash and in
kind, the share capital of the KTM Power Sports AG increases from EUR
7,580,000.00 to EUR 10,109,000.00. As of 1.9.2010 the new shares are
entitled to dividend payments.

Shareholder structure after the capital increase After the capital
increase against contribution in cash and in kind CROSS Industries AG
will stay the majority shareholder of KTM Power Sports AG with over
50 % of voting rights, the share of Bajaj Auto International Holding
B.V. increases from 31.92 % to 35.67 %. Hofer Privatstiftung holds
over 5 % of KTM Power Sports AG shares; the free float of stock
amounts to 10 %.

Additional liquidity reserve for innovative projects in the future
KTM continues to focus on innovative products for the future and has
already made a step forward with the introduction of the Zero
Emission Motorcycle (freeride).

The series production of small-engine street models (125 ccm), which
were developed in cooperation with Bajaj Auto Ltd. is scheduled to be
launched at the end of 2010.

In the future KTM will focus on new markets, in particular emerging
markets, which have not yet been entered, especially Brazil.

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www.ktm.com

end of announcement euro adhoc
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ots Originaltext: Cross Holding AG
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:

KTM Power Sports AG

Mag. Wilfried Stock

Tel.: +43(0)7742/6000-216

mailto:wilfried.stock@ktm.com

Branche: Technology
ISIN: AT0000645403
WKN:
Index: mid market
Börsen: Wien / official market