Porsche will go public by the end of the year

On Monday the German car company Volkswagen announced which will list Porsche AG, a historic sports car company that it fully controls, on the stock exchange. Volkswagen said the deal is expected to take place between late September and early October, but also added that times could change based on market developments. The IPO (English acronym for initial public offering, i.e. the debut on the stock exchange) could be one of the largest in German history and among the largest in recent decades in Europe: investors value Porsche between 60 and 85 billion euros.

The operation was given as possible already for several months, after Volkswagen in February had announced to be at an advanced stage of the talks to approve the listing of Porsche. According to financial analysts, the goal of the listing is to obtain substantial new economic resources to invest in the transition to electric vehicles, a sector where the German company is still lagging behind other automotive companies. In addition to Porsche, the Volkswagen company controls the Volkswagen, Audi, Seat and Lamborghini brands.

Volkswagen has also decided that a 25 percent stake in Porsche AG will be sold to Porsche SE, the holding company that owns more than 30 percent of the shares in the Volkswagen group. Porsche SE is owned by the Porsche-Piƫch family, which would ensure greater and more direct control of Porsche.

– Read also: Volkswagen wants to list Porsche on the stock exchange

Leave a Comment

Your email address will not be published.