Top European Manufacturer Launches New E-Bike Subsidiary in Australia

By Scott Green | 9th February 2023 |

Man standing on mountain with mountain bike — Husqvarna e-bikes are spearheading the launch of Pierer New Mobility Australia, including the Mountain Cross 6. Photo credit: Rudi Schedl.

Wels, Austria

Europe’s leading manufacturer of powered two-wheelers, Pierer Mobility Group, has launched an Australian subsidiary of its “new mobility” division.

Pierer New Mobility Australia has established a headquarters in Sydney and has launched the business this year with its brands Husqvarna E-Bicycles and Gas Gas, a Spanish motorcycle manufacturer that moved into e-bikes in 2021.

A spokesperson for Pierer Mobility Group said the company’s other new mobility brands, which includes R Raymon, Syntace and Liteville, are “under evaluation for the Australian market”.

“For Pierer New Mobility, the Australian market has a high potential,” according to Pierer New Mobility CSO Florian Burguet.

Husqvarna Gran Gravel e-bike — The Husqvarna Gran Gravel. Photo credit: Rudi Schedl.

Pierer Mobility Group has had a presence in Australia for several years, primarily with its motorcycle operations and initially under its previous title, KTM Industries AG.

In 2019, it gained full ownership of Automotive Holdings Group – the parent company of KTM Group Australia and KTM Group New Zealand – after the Austrian company bought a 26% share in 2017.

Only months later, KTM Industries AG announced it was changing its name to Pierer Mobility Group.

Stefan Pierer and his Cross Industries company took over a financially struggling KTM in the early 1990s, resurrecting the Austrian brand that began in 1953, and taking it to new levels of success. That resurrection including a move into e-bikes in 1994 and its e-MTBs have been available in a number of Australian stores in recent years.

person doing dirt jump on mountain bike — The Gas Gas G Trail 3.0 Photo credit: Gas Gas

KTM bought Husqvarna from BMW in 2013 and Stefan has confirmed he also tried to purchase Ducati – which he dubbed the Ferrari of motorcycles – in late 2020.

Californian bike manufacturer Felt was purchased by Pierer Mobility in January last year and the brand continues to be distributed in Australia by the GPI Apollo Bicycle Co.

In September 2022, Pierer acquired a majority stake in high-quality componentry manufacturer Syntace, including its MTB branch, Liteville.

Syntace and Liteville are distributed in Australia by SA-based company EightyOneSpices.

E-Bike Spike Pushes Consolidated Sales Record

The launch of the Pierer New Mobility Australia subsidiary coincides with Pierer Mobility’s recent announcement of a 15% increase in its bicycle sales in 2022, helping the company record a 19.4% spike in consolidated sales for the financial year.

The company sold a total of 118,465 e-bikes and analogue bicycles in 2022 – alongside 375,492 motorcycle sales.

person riding e-bike in city scape — Gas Gas has also introduced a dual cross model – the 6.0 Wave. Photo credit: Gas Gas

That included 74,479 e-bikes – surprisingly down from 76,916 in 2021.

Approximately 81% of its total bicycles sales can be attributed to Europe, with about seven percent in the Asia region.

Pierer Mobility’s total consolidated sales rose to a new record of €2,437 million (A$3,809 million) in the 2022 financial year, up from €2,042 million (A$3,191.4 million) in previous year, despite severe supply chain challenges.

It is predicting an EBIT (earnings before interest and taxes) margin of between nine and 10%.