Porsche today announced it will increase its stake in Volkswagen from 31 percent to over 50 percent, making it the majority owner of Volkswagen. Wendelin Wiedeking, CEO of Porsche, said the goal is not to merge the companies, but instead to create “one of the strongest and most innovative automobile alliances in the world.”
Over the last few years, Porsche has slowly increased its stake in Volkswagen , and increased cooperation at the same time. Porsche’s investment of an additional $15 billion will bring its share to over 50 percent, dwarfing the 20 percent stake held by the German state of Lower Saxony.
Porsche already has full approval from its supervisory board to make the move, meaning the only remaining hurdle is regulator approval. “The reviews by the regulatory authorities are expected to take several months. As soon as the requisite clearances have been obtained, Porsche SE can acquire the majority of the shares in Volkswagen,” the company said in a statement.
