The news of Erik Buell Racing filing for bankruptcy came as a shocker to the motorcycle fraternity. Everyone thought the American motorcycle maker will do well, after Hero MotoCorp bought 49 per cent stake in the company.
However, things didn’t go as planned. EBR’s Facebook page revealed that the company will go for an auction on July 21st. The sale of the company’s assets will be done through a bidding process between few potential buyers. Erik Buell racing said that the sale will be done on the larger lots, which basically means the bidder will be bidding for EBR-owned properties, including unsold motorcycles, leftover parts inventory, and intellectual property. These properties have been grouped together with the idea that it can not only meet the company’s debts to its creditors, but also open the possibility of the new owners reviving the brand altogether.
While we would appreciate the winner revving this brand in the future, there is a high chance of few bidders focusing only on its intellectual property and research and development division. There could be a high chance of few Indian automakers bidding for the company, and you never know, Hero MotoCorp could lead this process.
