Porsche Family to Own 25% of Porsche $85 Billion IPO by Volkswagen, IPO Expected End of September or Early October 2022
8th September 2022 | Hong Kong
Porsche family (Porsche Automobil Holding SE, founding family of Porsche) will be owning 25% + 1 share of Porsche upcoming $85 billion IPO by Volkswagen with the IPO expected to take place at the end of September 2022 or in early October 2022. Porsche Family (Porsche Automobil Holding SE) is also the largest shareholder of Volkswagen AG. Porsche: “The history of the Porsche automobile brand began in 1948 with the Type 356, but the groundwork for the company was laid in the design office of Professor Ferdinand Porsche. The first order book in 1930 recorded the start-up phase of a legend in the making.” See below for Porsche IPO announcement.
” Porsche Family to Own 25% of Porsche $85 Billion IPO by Volkswagen, IPO Expected End of September or Early October 2022 “
Porsche IPO Announcement
On February 24, 2022, Volkswagen AG had announced that it would examine the feasibility of a possible IPO of Dr. Ing. h.c. F. Porsche AG. Based on the results of this review, the Board of Management of Volkswagen AG today resolved, with the consent of the Supervisory Board, to pursue an initial public offering of the preferred shares of Dr. Ing. h.c. F. Porsche AG with the target to list them on the Regulated Market of the Frankfurt Stock Exchange (Prime Standard) – subject to further capital market developments – at the end of September / beginning of October 2022 (“intention to float”) to be completed by the end of the year.
In preparation for the IPO, the share capital of Dr. Ing. h.c. F. Porsche AG has been divided into 50% preference shares and 50% ordinary shares. As part of the IPO, a total of up to 25% of the preferred shares in Dr. Ing. h.c. F. Porsche AG would be placed with investors from the holding of Volkswagen AG. In connection with the intended IPO, Porsche Automobil Holding SE would acquire 25% plus one share in the ordinary share capital of Dr. Ing. h.c. F. Porsche AG from Volkswagen AG at the placement price of the preference shares plus a premium of 7.5%. Volkswagen AG would continue to hold Dr. Ing. h.c. F. Porsche AG in its consolidated financial statements by way of full consolidation even after implementation of the intended IPO. The existing industrial and strategic cooperation between Volkswagen AG and Dr. Ing. h.c. F. Porsche AG would be comprehensively continued after the IPO.
In the event of a successful IPO, Volkswagen AG will convene an extraordinary general meeting in December 2022 at which it will propose to its shareholders that a special dividend amounting to 49% of the total gross proceeds from the placement of the preferred shares and the sale of the ordinary shares be distributed to the shareholders at the beginning of 2023.
The Professor’s Book. The history of the Porsche automobile brand began in 1948 with the Type 356, but the groundwork for the company was laid in the design office of Professor Ferdinand Porsche. The first order book in 1930 recorded the start-up phase of a legend in the making. It sits unremarkably in a gray safe in a climate-controlled room: the first ledger of the Porsche design office, stored in a fireproof room in the archive of the Porsche Museum. In the timeworn ledger one can find order number 1, placed on August 21, 1930. The job involved manufacturing individual components for a “Hesselmann engine,” a cross between a diesel and a gas engine—a sign of the company’s innovative spirit since its inception. Order number 7 was of another dimension altogether. “Small-car project,” reads the description in the ledger. The Wanderer company planned to motorize the masses and needed a concept with which it could economically and inexpensively develop what was then considered a luxury item into a Volks-Wagen—a car for the people. A clever idea, as history would demonstrate. The order book provides an illuminating look at how Ferdinand Porsche and his small team of just nineteen employees embodied the vision of design creativity. On April 25, 1931, Professor Porsche had his company officially entered in the commercial register. From that day forward, “Dr. Ing. h.c. F. Porsche GmbH, Konstruktionen und Beratung für Motoren und Fahrzeuge,” based in Stuttgart, was officially on the books. The first five projects were started in 1930 in St. Ulrich, Austria. The drawing board was in the bedroom of Porsche’s son Ferry. But the office moved to Stuttgart at the beginning of 1931, initially renting space in the city center. The idea of a neutral design office was still unheard of in the automotive world. Ferdinand Porsche did not, at the time, harbor the intention of building his own cars. His aim was to carry out technical projects for a variety of clients as well as charge licensing fees and patent royalties. The first order book illustrates in impressive fashion how the Porsche office became a hotbed of innovation for the German automotive industry.