Tuesday 6th January 2009

Porsche Takes Over VW

Sportscar maker buys over 50% of shares in Europe's largest car manufacturer

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Porsche has taken over Volkswagen, Europe’s largest car manufacturer, having bought over 50% of VW shares, the sportscar manufacturer announced last night. Porsche said in a statement that it had bought new shares and it ‘will thus increase its participation to 50.76%’ of the group's capital, compared with 42% before.

Oddly, Porsche must now make an offer for outstanding shares in truck maker Scania in which VW is the dominant shareholder, under Swedish law. However, the carmaker said it has no ‘strategic interest’ in Scania and therefore will bid the minimum price.

Porsche has been looking to buy more than 50% of VW’s shares for a while but has been stopped by fluctuating share prices. Porsche's takeover sees a relatively small family-run business take over one of the largest car companies in the world.

It is understood that much of Porsche’s interest in VW lies in its manufacturing capabilities and technological know-how. The company is now understood to be looking at increasing its stake to 75%, which would give it full financial control.

[spoonoff]

Describing Porsche as 'a relatively small family-run business' makes it sound like a father and his 2 in-bred sons build the cars in a shed out of bits of old tractors and milk cartons.

[LuS1fer]

spoonoff said:

Describing Porsche as 'a relatively small family-run business' makes it sound like a father and his 2 in-bred sons build the cars in a shed out of bits of old tractors and milk cartons.

Have you had the factory tour then?

[GTEYE]

Excellent

I'll be straight down to the local dealer to place my order for a 911 2.0 TDI immediately.

In the current climate - and with the Cayenne derv already here - would this really be such a daft idea?

[fathomfive]

GTEYE said:

Excellent

I'll be straight down to the local dealer to place my order for a 911 2.0 TDI immediately.

In the current climate - and with the Cayenne derv already here - would this really be such a daft idea?

Cool, maybe Skoda will be eyeing up the 911 as a Rapid replacement?

[schnell]

I only see this as a good thing. Well done to Herr Porsche

[GTEYE]

fathomfive said:

GTEYE said:

Excellent

I'll be straight down to the local dealer to place my order for a 911 2.0 TDI immediately.

In the current climate - and with the Cayenne derv already here - would this really be such a daft idea?

Cool, maybe Skoda will be eyeing up the 911 as a Rapid replacement?

With VW's skill at platform sharing, we'll see not just the new Skoda Rapid:

New New Beetle - jack the roof up a bit on a 911

New 924 - new badges on the Audi TT (need to fit a van engine obviously)

Skoda Cayenne - that'll soak up some of the excess production capacity...

And more I'm sure to follow....

[LuS1fer]

GTEYE said:

Excellent

I'll be straight down to the local dealer to place my order for a 911 2.0 TDI immediately.

In the current climate - and with the Cayenne derv already here - would this really be such a daft idea?

They used to make detuned 911s from 1967-1971 - the 911T which had either a 2.0 or 2.2 flat six making a maximum 125hp. Of course, orsche was a one-trick pony back then and pushed the 911 upmarket so it makes no sense to lose that cachet now - after all the Boxster takes enough flak.

[spoonoff]

LuS1fer said:

spoonoff said:

Describing Porsche as 'a relatively small family-run business' makes it sound like a father and his 2 in-bred sons build the cars in a shed out of bits of old tractors and milk cartons.

Have you had the factory tour then?

You better believe it- I'm still walking like a croquet hoop...

[annodomini2]

GTEYE said:

New New Beetle - jack the roof up a bit on a 911

At least it would have more in common with the original than the current one does.

[Fire99]

If you have the 'glass half full' mentality then you'll be expecting VW's to become gradually more exciting with better dynamics etc.

However the other possibility is that Porsche cars become more 'VW-ised' with greater use of TDi's etc and more mainstream models, ultimately softening the brand.

If you value Porsche as purely sports car manufacturer then in time i think you'll be dissapointed.

[cardigankid]

VW was effectively controlled by Ferdinand Piech anyway. It won't make a blind bit of difference, just tidying up the portfolio.

As far as the 911 is concerned, and I am a believer, let's not forget it started out as a coupe development of the beetle, and the early ones were very very similar internally.

[TimJMS]

Look on the bright side - things are looking good for 998 interiors

[varsas]

LuS1fer said:

They used to make detuned 911s from 1967-1971 - the 911T which had either a 2.0 or 2.2 flat six making a maximum 125hp. Of course, orsche was a one-trick pony back then and pushed the 911 upmarket so it makes no sense to lose that cachet now - after all the Boxster takes enough flak.

don't forget the 4cyl 912! If they did end up owning scania that would be a nice home for the toureg/cayenne etc...

[tombstone]

TimJMS said:

Look on the bright side - things are looking good for 998 interiors

"Yes Sir, the new 998, sports pack, navigation, carbon door sills.."

"Isn't that a vase with a flower poking out???"

"Yes sir, BUT it is a carbon vase...."

[BoRED S2upid]

Interesting. Lets just hope we don't see hot Golfs with Porsche bits and boxters with golf bits.

[scotty_917]

Proper business sense being shown by the Supervisory Board of Porsche Automobil. Wolfgang finally kicked his cousins opposition, amongst others, into touch.

[ewenm]

BoRED S2upid said:

Interesting. Lets just hope we don't see hot Golfs with Porsche bits and boxters with golf bits.

RS2 was a good joint venture between Audi and Porsche though...

[Poverty]

porsche will stiffle some of the fast audis. porsche only are really interested in audi, and the economy of scales that the rest of the group brings. porsche wants to take but not give.Audi being managed by porsche is a scary prospect for bmw and mercedes though.

[r11co]

There's always winners and losers in a financial meltdown. I love how Porsche raised the capital for this takeover by 'shorting' their own shares......

Edited by r11co on Tuesday 6th January 14:29

[hill79]

ironic considering the beginnings of the Beetle.