Well, before December actually. Porsche will hold present their annual results to the media on 26 November, and if they have their way between now and then they will have increased their stake in Volkswagen to an “absolute majority”.
This Sydney Morning Herald article explains a few of the hurdles Porsche still has to resolve before being able to fulfill their lofty ambitions. The major stumbling block is the Lower Saxony government’s blocking vote—despite only controlling 20.1 per cent of the stock. The European Commission is involved and back in July, when assessing any likely competition issues, they declared “Porsche will continue to face several strong, effective competitors”.
With just over 35 per cent of Volkswagen shares, Porsche already has effective control of the company, however formalising the majority shareholding is becoming more acrimonious by the day. Volkswagen objects to Porsche’s wish to gain access to Audi technology and is doing all it can to stand in the way of what is most probably an inevitable takeover.
Whatever happens, it is fascinating viewing and considering the possible permutations of technology and platform sharing certainly whets the appetite.
2 replies on “Porsche wants full control of Volkswagen before Christmas”
[…] wanted to reach majority shareholder status before Christmas. Unsurprisingly, the delicate and sometimes acrimonious negotiations between the two companies took […]
[…] In January, Porsche became the majority shareholder in Volkswagen, although there is still the Lower-Saxony ruling, preventing outright control of Volkswagen by Porsche, to be […]