Volkswagen’s management and supervisory board will discuss the long planned public listing of its Porsche brand should go ahead in late September or early October in a Monday meeting, the company said on Saturday.
The company has carried out a feasibility study for an initial public offering and its management board and supervisory board will discuss in various Monday meetings if the IPO “at the end of September/beginning of October 2022 should be pursued,” the statement said.
Volkswagen's approval of the sale of 25% plus one share of ordinary shares in Porsche AG to Porsche SE, as outlined in the two parties' framework agreement from February, will also be decided.
The German carmaker has been working on a proposal to float a small portion of its sports car brand this year in what might be one of the biggest initial public offerings in the history of Europe for months. Listings, however, have often come to a standstill due to challenging market conditions.
The meeting was confirmed on Monday in a separate statement by Porsche SE, which owns 31.4% of Volkswagen and controls 53.3% of the voting rights. The statement also stated that further board discussions and market developments still needed to take place before the listing could go live.
According to officials familiar with the situation, Porsche has secured investor interest for an IPO at a price of up to $85 billion, Bloomberg News reported on August 26. According to the individuals, who requested anonymity since the conversations are private, the manufacturer of the 911 sports car and the electric Taycan has pre-orders that exceed the shares on offer at a valuation between 60 billion and 85 billion euros ($85 billion).
Big-name investors have already expressed interest in subscribing to the IPO in that value range, according to the sources, including T Rowe Price Group Inc. and Qatar Investment Authority. According to the sources, Dietrich Mateschitz, the creator of the energy drink Red Bull, and Bernard Arnault, the chairman of LVMH, have both expressed interest in Porsche.
.
