http://www.leftlanenews.com/vw-acquires-49-9-percent-stake-in-porsche.html

 

Furthering its plans of acquiring Porsche Automobil Holding SE, VW has today purchased another $5.8 billion in Porsche stock. This latest purchase puts VW’s total stake in the sports car maker at 49.9 percent.

 

VW’s acquisition of Porsche SE stems from a failed hostile takeover by the now ailing Porsche. Porsche had originally intended to purchase a 75 percent controlling stake in VW, but fell short on funds during the takeover – leaving Porsche with billions of debt and releasing top management.

VW has since reversed the roles in the takeover, and is now in its second stage of taking control of Porsche after gaining shareholder approval last week for the eventual release of up to 135 million new preferred shares by December 2014.

Earlier today VW released a statement saying, “The acquisition of the (car) retail business of Porsche Holding Salzburg is planned for 2011. In the course of 2011 an integrated automotive group will be completed through the merger of Volkswagen with Porsche SE.”

VW says that it puts the total value for debt and equity of Porsche AG and Porsche Holding at 16 billion euros.


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