Rumour: Volkswagen considering Porsche IPO worth $100 billion

The IPO could fund Volkswagen's shift towards electric vehicles.

According to reports, Volkswagen is considering a possible Initial Public Offering (IPO) of its luxury brand, Porsche AG.

Although no decision has been made, the rumours of the Porsche IPO have been around for a few months. Reports suggest that the IPO could be worth over US$ 100 billion, which would help fund Volkswagen's shift towards software and electric mobility.

The decision hasn't been made due to a complex shareholder set-up, including the Porsche & Piech families. However, as per reports, the Porsche & Piech families who own 31.4% of Volkswagen shares and have 53.3% of the voting rights for Porsche SE, are planning to sell part of their Volkswagen shares to purchase a substantial stake in the rumoured Porsche IPO. Having said that Porsche SE has called these rumours 'pure speculations'.

Source: Reuters