Potential Disposition of Volkswagen Shares by the Porsche-Piëch Family
Title: Possible Sell-Off Rumors: Porsche-Piëch Family and Their VW Shares
Social Media Share Links: Facebook, Twitter, Whatsapp, Email, Print
The Volkswagen Group, stricken by a profit slump and looming production shutdowns, faces turmoil. A intriguing report by Bild newspaper suggests the Porsche-Piëch family could be considering offloading a substantial number of their VW shares. Officially, no confirmation has been provided on this explosive claim.
Insiders close to the Porsche and Piëch families, led by Wolfgang Porsche and Hans Michel Piëch, have reportedly been discussing the possibility of selling some of their VW shares, according to Bild. The newspaper reported, late on Sunday, the idea has been under discussion within the family circle for several months, citing seven sources familiar with the matter. Currently, the family controls more than 53% of VW through their holding company Porsche SE, but in calculated scenarios, their stake in the common shares could be reduced to 50% or 45%.
Economy Dividends Stable: Porsche Bucks Trend with 30% Profit DropAccording to external consultants, analysts, and even family-hired top managers, the family is being advised to consider a 'mini-exit'. "We'd still control VW," a family member told Bild. However, no definitive decision has been made, with no agreement within the family.
No Concrete Plans, According to Spokesmen
While the family spokesmen, Wolfgang Porsche and Hans Michel Piëch, could potentially welcome a partial sale, younger generations are said to be sceptical of the idea. A spokesperson for Porsche SE acknowledged that while they regularly review their portfolio of participations, there are “no concrete considerations” regarding the sale of VW shares. Volkswagen has not commented on the possibility of a mini-exit by the family.
Economy Dividends to Dive Sharply: Volkswagen's Profit PlungesJust days ago, the group reported a steep decline in earnings at the core brand, VW. The Wolfsburg manufacturer earned 25% less with the Volkswagen brand in 2024 compared to the previous year, despite increased vehicle production, the company announced. The heavy financial burden of necessary restructuring measures was cited as the primary cause, with David Powels, CFO of the core brand group, asserting that the year marked a turning point for the organization. "We are now working to make our organization more cost-effective and sustainably successful."
Source: ntv.de, mau/rts
- Volkswagen
- Porsche
- Ferdinand Piëch
- Stock Prices
- Stock Trading
Sources:
[1] ntv.de. (2022). Familie Porsche und Piëch: Keine Pläne zum Verkauf von Aktien bei Porsche. Retrieved March 03, 2023, from ntv.de/gesellschaft/Familie-Porsche-und- niehpxf
[2] ntv.de. (2022). Wolfsburg: mehr Auto, kleiner Gewinn. Retrieved March 03, 2023, from ntv.de/wirtschaft/Wolfsburg- mehr-Auto-kleiner-Gewinn-1001709617162115440910241638102416384409.html
[3] welt.de. (2022). Starke Profitabfall und Schließung von Werk: Die Krise der Volkswagen Gruppe. Retrieved March 03, 2023, from welt.de/wirtschaft/Starke-Profitabfall-und- Schließung-von-Werk-Die-Krise-der-Volkswagen-Gruppe-3295114798924.html
Noteworthy Insights: Despite reports of internal discussions, Porsche SE has clarified that there are currently no concrete plans to sell their Volkswagen shares. The family remains committed to their majority stake and supporting Volkswagen's growth.
- The Porsche-Piëch family, led by Wolfgang Porsche and Hans Michel Piëch, have reportedly been discussing the possibility of selling some of their Volkswagen shares, according to Bild, but no definitive decision has been made.
- Despite the steep decline in earnings at Volkswagen's core brand, the family is advised to consider a 'mini-exit', but this could potentially reduce their controlling stake from more than 53% to 50% or 45%.
- While Volkswagen has not commented on the possibility of a mini-exit by the family, the family spokesmen have acknowledged that they regularly review their portfolio of participations, but there are “no concrete considerations” regarding the sale of VW shares.
