Benelli, the Sino-Italian brand is having a gala time in India. Thanks to attractive pricing, the company, in collaboration with the DSK group has so far enjoyed good numbers. Globally though, the manufacturer is still trying to get to its foothold strong. After all affordability is not the only factor the world looks forward to, especially Europe.
All said and done, ever since the backing of the Qianjiang group, Benelli has been grabbing attention with great news. Be it expansion plans or some new concept models. Things have been pretty encouraging. However, one piece of news has taken all of us by surprise. Various media houses are reporting that Benelli has been declared bankrupt. So what’s the noise all about? Let’s find out:
- A couple of days back reports from Italian media started saying that an Italian court in Pesaro had declared them bankrupt after they failed to pay WP suspension 120,000 euros for using their products.
- The Qianjiang group quickly retaliated and said that Benelli has no problems with funding and they have a healthy reserve of 1 million euros. Sounds cool right? So they should have paid the money and be done with it right?
- This is where things get murky. Benelli has been developing new products for sometime. The glorious image of which we saw at EICMA last year and in flesh at the Auto Expo.
- The folks though have reported a loss of 800,000 euros in 2014 and 5.7 million euros in 2015 (development cost eh?).
The rest of the tale sadly dries up there. Can Benelli get out of this mess and emerge stronger? Or will it falter and perish like before?
