[chassis]

Volkswagen Mulls Porsche IPO to Fund Electric Vehicle Transition -- Barrons.com

BY DOW JONES & COMPANY, INC. — 5:44 AM ET
Volkswagen (VLKAF) is considering listing its Porsche luxury car unit to help fund its ambitious plan to switch to electric vehicles, according to several media reports.

Porsche AG, the maker of the eponymous cars of the same name, could have a market capitalization of between EUR45 billion and EUR90 billion ($101 billion), according to Reuters and other reports.

The Piech and Porsche families who own 31.4% of Volkswagen (VLKAF) and 53.3% of its voting rights through their holding company Porsche SE, would sell part of their stake in Volkswagen (VLKAF) to funds a direct shareholding of the luxury car maker, the daily Handelsblatt reported.

The families could raise up to EUR15 billion in the process, for use toward potential holdings in a listed Porsche, the German business newspaper added. They would remain Volkswagen's (VLKAF) largest shareholder, ahead of the state of Lower Saxony, which owns a 11.8% stake and 20% voting rights in the company.

A spokesman for Volkswagen (VLKAF) said in an email that the group "is constantly reviewing options that serve to further develop and implement the Group's strategy and raise the value of the company," but that it wouldn't "comment on the details." Porsche didn't immediately reply to an emailed request for comment.

Volkswagen (VLKAF), the world's number two automobile company, launched an ambitious plan in March to become the global leader in electric vehicles. But CEO Herbert Diess has struggled since then, as supply chain bottlenecks and difficulties on the Chinese market have clouded the group's prospects.

Volkswagen (VLKAF) shares were up 3% in Wednesday morning trading. But the stock is down nearly 20% since the highs it reached in March after the announcement of its EV strategy.


(END) Dow Jones Newswires
12-08-21 0544ET
Copyright (c) 2021 Dow Jones & Company, Inc.

[mikado463]

you mean I will no longer be able to call Porsche 'over priced VW's' !

[chassis]

Maybe not. The Piech and VW ownership of these businesses is complex. It could be that if Porsche IPOs that VW or the Piech family, or the two together, have a controlling interest in the public Porsche company. Similar to the Ford family's ownership of FoMoCo.

The recent Bugatti-Audi-Rimac deal is similarly complex.

[Bimmersandmopars]

Originally Posted by chassis

Maybe not. The Piech and VW ownership of these businesses is complex. It could be that if Porsche IPOs that VW or the Piech family, or the two together, have a controlling interest in the public Porsche company. Similar to the Ford family's ownership of FoMoCo.

The recent Bugatti-Audi-Rimac deal is similarly complex.

It's 2021... VW can identify as whatever it wants lol.

I do think it's entertaining to see a major manufacturer seek to dominate a market segment literally every major brand has failed at...... except Tesla.

This thing I love about Tesla is liberals love his products, but can't stand him.

Oh what a tangled web lol.

[heavyD^2]

Porsche is heavily dependant on VAG for the SUV platforms. This would mean they would eventually have to build their own SUV drivetrains and chassis which would require a large investment.

[RM7]

For anyone that thinks these companies are just winging it for EVs, this shows you how far along and dedicated they are. They've been working on this for years. I highly doubt this is unique, given what we know is right around the corner for others, still, it's fascinating to watch IMO:

The real question for Tesla is going to be innovate or die? That's the thing about capitalism and competition, someone will always come along to do what you do, but better, faster, cheaper, more efficiently, and so on. Every once and a while, a company finds itself in a niche, but real niches are extremely rare IMO and it's far more common for a company or busines to think they are in a niche and to have the group-think causing them to believe that no one will challenge them. Tesla can survive, but they have to be pushing markets, big-rigs, trucks, other applications, and pouring the money into R&D to make their products better. If they just try to keep their momentum without doing anything better or new, they'll quickly die out, because everyone is doing what Porsche is doing, and it's not just one car model.

[Tambohamilton]

Originally Posted by chassis

...eponymous cars of the same name...

Really??

[Alkapwn]

I thought VW was already doing this by leveraging the money and customer base of Bugatti...

[chassis]

Originally Posted by Tambohamilton

Really??

...wrote the Chairman of the Department of Redundancy Department.

[chassis]

Transaction moving forward.