Porsche has officially announced that it will go public in the coming weeks. With the new announcement, Volkswagen is pushing ahead with the listing of a minority stake in the legendary German sports car maker on the Frankfurt Stock Exchange.
Volkswagen plans to go public by the end of the month or early October. Despite the volatility in the market, it seems the car company plans to go ahead with the plan. When completed, the IPO is expected to become one of the largest floats in Europe and Germany this year. The luxury sports car brand is valued at over $60 billion.
Porsche CFO Lutz Meschke said in a call that the only reason they would pull out was a major geopolitical event: “You never know what’s going to happen in terms of geopolitical issues, but if a potential IPO were stopped now, let’s talk about serious problems. By then, a possible IPO would not really be an issue.” Volkswagen claims it will use the funds to accelerate the company’s plans to move from its current vehicle roster to electric vehicles and self-driving cars.
As VW’s premium luxury car brand, Porsche is seen as VW’s money-maker. In the first half of 2022, the sports car maker’s operating profit is up 22%, compared to an 8% decline at mass-market-focused Volkswagen. For now, viewers will have to wait and see when the blockbuster list comes to fruition.
In other automotive news, Ferrari unveils the Purosangue on September 13th.
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