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Ducati
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The engine behind Ducati’s full throttle Behind the glorious roar of Ducati’s beautiful motorbikes lies private equity, the engine that reinvigorated a business that had lost its way into one of Italy’s proudest exports. When TPG took control in 1996 the business was in tatters and the production line had stopped. “As it has done with many other established brands, private equity breathed fresh life into Ducati. Bold marketing and fresh capital enabled us to rebuild our reputation for innovation and build great motorcycles”, Federico Minoli, Ducati CEO. TPG’s focus on marketing enabled Ducati to build a ‘Ducati community’ around the bikes and establish a premium brand that inspired the cult-like following we see today. At the same time, new capital meant Ducati could pay suppliers, fix its crumbling factory and invest heavily in R&D. With new state of the art of machinery, the business transformed its operational efficiency. The business rehired 300 factory workers, quality improved drastically and profits returned. Meanwhile, Ducati’s racing heritage was also restored, with 9 World Superbike Championship titles in 11 years of TPG ownership. In 2007, Ducati re-entered GP, the most demanding and technology-driven form of motorbike racing, bringing the world title back to Italy after more than 35 years of Japanese dominance.
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