Porsche has managed to keep its name in the headlines for the past several weeks, but not for the reasons the German sports car maker is accustomed to. Following a failed takeover of Volkswagen – Europe’s largest automaker – Porsche was left with a massive $12 billion debt, leaving the automaker’s financial health in question. Porsche has kept relative quite on the subject but announced on Tuesday that it is currently holding investment talks with the Gulf state of Qatar.
Porsche spokesman Albrecht Bamler revealed to Bloomberg that the company is currently holding investment negotiations with Qatar. Rumors of Qatar’s interest in Porsche first surfaced in April, but were unconfirmed until today.
The exact terms of the proposal remain unknown, but sources familiar with the talks have indicated Qatar could take a 25 percent stake in Porsche. An agreement could be reached as early as next month.
Porsche has found itself under a mountain of debt as of late, including a $12 billion deficit racked up by the failed takeover of VW. The German automaker is reportedly facing a $3.5 billion cash shortfall, which is likely the main reason behind the negotiations with Qatar.
Reports also surfaced yesterday that Porsche is mulling the sale of its VW call options. No bidders have been named in the call option sale, but it remains possible Qatar is also involved in those talks. The options are said to represent a 20 percent stake in VW.
06/09, 12:16 PM
posted by:
shaver
The irony of it all. Africans, buying up German blue chips at swap meet prices.
06/09, 12:36 PM
posted by:
Borat
The irony is that Qatar is in Asia (small Asia to be precise). But I find this union fitting: Qatar can prosper only if there is demand for oil. Porsche vehicles help to create demand.
06/09, 12:42 PM
posted by:
ahnuconun
And with more and more ultra-rich oil-states taking pieces of the beleagured auto industry for themsleves, you can expect the integration of non-petrol fuel technologies to arrive a little later than expected…
06/09, 1:04 PM
posted by:
hummah
Abu-Dhabi bitches! The real irony is that if we hadn’t made these Arab states so rich with our extreme thirst for oil, they would be useless dirt farms that nobody could care less about.
06/09, 1:35 PM
posted by:
johnnycanuck
Funny but I don’t recall ever seeing anyone sporting Lederhosen and a turban at the same time.
06/09, 1:52 PM
posted by:
F3INT))AP3X
Let em have Porsche what does it really matter; I mean maybe I am just crazy but like 999/1000 people do not own a Porsche. Besides everything is backwards over there already so Porsche cars should fit right in!
06/09, 4:32 PM
posted by:
Fx NauGhtY
don’t hate on a country if they are rich we have oil too along with other technology, we even sell weapons to other country so tell me whats more worst than that?
ps…people don’t use weapons to play with, they only use it to destroy or start a fight
06/09, 6:07 PM
posted by:
scratchy
Amb. Nassir Al-Nasser: Well, first of all, QA-tar is a moderate country, playing a good role in the international arena.
Oliver: I think you’ll find it’s pronounced qa-TAR .
Al-Nasser: It’s QA-tar .
Oliver: qa-TAR.
Al-Nasser: QA-tar.
Oliver: qa-TAR.
Al-Nasser: QA-tar. That’s the classic Arabic.
Oliver: Ambassador, that’s a pre-9/11 pronunciation.
i like John Oliver
06/10, 3:42 AM
posted by:
Mad About Cars
For the record, Qatar is in the Middle East.
To Hummah, apart from dates, what other farming can people in Qatar do without grass? Aren’t there more of that in the States and Asia?
As for Porsche, I guess they deserve it.