Porsche SE: Fully Owned Subsidiary of Volkswagen
Porsche SE's remaining stocks have been purchased by Volkswagen AG for 4.46 billion euros ($5.6 billion). After Porsche tried to take over Volkswagen in 2005, the later who also holds 50.1 percent owership in the Porsche, puts to an end the struggle of seven years for taking over the company by signing up an agreement with the German tax authorities. The two companies have now fully amalgamated as Volkswagen has embraced the Porsche brand as its own along with the other brands which are existing in the car market like Audi, Bentley, Bugatti, Lamborghini, Seat and Skoda. Other than car manufacturing brands, Volkswagen also owns truck makers MAN SE, Scania AB and motorcycle manufacturing brand, Ducati.
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Porsche SE's remaining stocks have been purchased by Volkswagen AG for 4.46 billion euros ($5.6 billion). After Porsche tried to take over Volkswagen in 2005, the later who also holds 50.1 percent owership in the Porsche, puts to an end the struggle of seven years for taking over the company by signing up an agreement with the German tax authorities. The two companies have now fully amalgamated as Volkswagen has embraced the Porsche brand as its own along with the other brands which are existing in the car market like Audi, Bentley, Bugatti, Lamborghini, Seat and Skoda. Other than car manufacturing brands, Volkswagen also owns truck makers MAN SE, Scania AB and motorcycle manufacturing brand, Ducati.
The Volkswagen Chief Executive Officer, Mr. Martin Winterkorn stated after the takeover that the two companies can now operate even more easily and comfortably and can jointly jump on to the new growth opportunities which are available in the high profit premium segment of the luxury cars. He further added that this takeover will increase the operating business profits of both, Volkswagen and Porsche and will benefit both the companies, financially and strategically for further operations of the business.
