Even as record inflation and a Russia-Europe energy stalemate have sent European markets plunging, Volkswagen Group has declared its plan to list sports car brand Porsche, setting off what could become one of the world’s largest listings.
The automaker announced its ‘intention to float’ for an IPO in late September or early October, with plans to wrap up the offering by year’s end but added that the timing and listing were “subject to further capital market developments.”
An estimated valuation of between $60 billion and $85 billion is anticipated by investors. Despite the success of the Porsche brand, other high-end automakers like Aston Martin and Ferrari have seen their stock prices decline.
According to the highest estimations, the IPO may rank among the biggest in European history since 1999 and the largest in German history. Qatar will be a cornerstone investor who plans to give the newly listed company a 4.99 percent ownership.
Volkswagen also gave the go-ahead for the sale of 25 percent plus one of the ordinary shares of Porsche AG to Porsche SE, giving the automaker’s dominant Porsche and Piech families a blocking majority and supporting their campaign for tighter control over it.