Harley-Davidson Explores Sale of Financing Unit Stake Amid Market Challenges

HDFS plays a crucial role in Harley-Davidson's operations, financing dealer inventory and providing retail loans primarily for the purchase of Harley-Davidson and LiveWire motorcycles. In 2024, HDFS contributed 20% of the company's revenue, highlighting its significance within the organization.

The talks are ongoing, and while a deal could be announced within weeks, the details and structure may change. Neither Harley-Davidson, KKR, nor PIMCO have provided immediate comments on the matter.

This potential sale comes as Harley-Davidson faces declining sales and has already indicated that tariffs are likely to impact its full-year financial results. The company has also suspended its 2025 forecasts and is scheduled to release its Q2 earnings on July 30.

For Australian riders and potential Harley-Davidson customers, this development could have implications for financing options. Changes in the ownership structure of HDFS may influence loan availability, interest rates, and terms. Prospective buyers are advised to stay informed and consult with Harley-Davidson dealerships for the most current information on financing options.

As the situation evolves, it underscores the importance of staying abreast of financial developments within major motorcycle manufacturers, as these can directly impact consumer financing options and the broader motorcycle market.