Until the end of War World II Malaguti had to stop production while Italy was invaded and later on when its owners were hiding in the mountains from the retreating German army. Unlike its Bologna neighbor, Ducati, the Malaguti factory was not bombed by the Allies for it was not a significant threat. In the late 1950s the company decided to expand business and began to private label other products and assemble new vehicles. Similar to Ducati, Malaguti diversified into washing machines, exercise equipment and other manufactured goods that carried the Malaguti name. The company also sold many items to the Sachs company in Germany and have maintained a relationship with Sachs well into 2006, when Sachs declared bankruptcy.
During the Vietnam war era of the 1960s and 1970s, Malaguti exported over 70% of its first scooters to Vietnam. The first 50cc Malaguti scooter was called the Saigon 50cc.
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