Audi Buys Ducati

Volkswagen AG's Audi unit confirms it has agreed to buy motorcycle maker Ducati Motor Holding SpA. Media reports had been predicting the deal.

Audi has not disclosed financial details, but reports say it will pay €860 million ($1.1 billion) to Ducati owner Investindustrial. The companies haven't said whether Investindustrial will retain a minority stake in the Bologna, Italy-based maker of high-performance bikes.

Audi claims Ducati's expertise in high-performance engines and lightweight construction techniques will be a good fit for its own operations. Skeptical analysts see little synergy between Ducati and Audi or the other brands in VW's portfolio. But VW Chairman Ferdinand Piech has been interested in acquiring Ducati for some time.

Last year Ducati sold 42,000 motorcycles worldwide, generating about $630 million in revenue.