Volkswagen board to discuss Porsche listing

Launch of listing still subject to market developments

BERLIN:

Volkswagen’s management and supervisory boards will meet on Monday to discuss whether the long-anticipated listing of sports car brand Porsche should go ahead in late September or early October, the carmaker said on Saturday.

A decision will also be made on whether Volkswagen approves of the sale of 25% plus one share of ordinary shares in Porsche AG to Porsche SE, as laid out in a framework agreement by the two parties in February.

That would give the Porsche and Piech families, which control Porsche SE, a blocking minority - a step that would bolster their push for greater control of the carmaker that was founded by their ancestor Ferdinand Porsche in 1931.

Porsche SE, which owns 31.4% of Volkswagen and holds 53.3% of voting rights, confirmed Monday’s meeting in a separate statement, adding that the listing’s launch was still subject to market developments and further board discussions.

Under the framework deal reached in February, 25% of preference shares will be sold on the open market, equal to just 12.5% of Porsche’s total capital.

Published in The Express Tribune, September 4^th, 2022.

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