Giant German car maker Volkswagen (VW) is forecasting a valuation of $75bn for its subsidiary carmaker Porsche, which will be due to be floated on the German stock market in Frankfurt on the 29th of September.
The share sale is expected to be Germany’s second-largest ever IPO.
“We are now in the home stretch with the IPO plans for Porsche and welcome the commitment of our cornerstone investors,” As stated by the chief financial officer of VW, Arno Antlitz.
The target share price for the flotation of Porsche will be set around Є76.50 to Є82.50 per share, giving it a forecast stock market valuation of between Є70bn to Є75bn. This flotation is also expected to be Europe’s third-largest-ever IPO on record.
The figures announced recently, unfortunately, fell short of earlier expectations which would have valued the luxury car brand at a head-spinning Є85bn. But markets all around the world were affected by the current economic downturn, such as rising interest rates and global recession.
One of the main reasons for the IPO of Porsche is to raise approximately €9.4bn which will be needed for further expansion and investment in the shift to electric vehicles and software development.
VW said it will be holding an investor meeting in December after the IPO has been completed, where the plan is to distribute a special 49% dividend of the gross proceeds from the share sale to the shareholders.
Under the proposed IPO plan, the Porsche-Piech family will once again have the option to gain control of the company they lost when VW took over the carmaker over a decade ago. It is understood that they are willing to pay a premium in order to regain significant decision-making power.
Used car marketplace
The forthcoming IPO for Porsche is great news for the electric car buyer of the future, as this will give another major car maker the ability to fully invest in electric vehicles and software technology to enable new buyers a wider choice for sourcing electric cars and making the new and growing car market, more competitive.
As many would-be new car consumers are starting to realise, the time for buying brand new vehicles, be it fossil fuels or electric cars isn’t ideal as the current global economy is in a downturn and parts for vital microchips are in short supply, so the knock-on effect is higher new car prices and very long waiting lists.
The other option which is turning out to be more feasible is to buy nearly new used cars. Used car dealers, like WOO Carz which is based in Southampton, are family-run used car business that mainly operates online and provides a nationwide free delivery service, seven days a week for consumers looking to buy a quality used car. All the used cars sold by WOO Carz are HPI checked, fully inspected, and come with a full warranty. As with all reputable used car dealers, WOO Carz prides itself on excellent customer service levels, which is why we are considered an “Excellent” rating on Trustpilot and rated 4.6 out of 5 stars on Google reviews.
WOO Carz stocks hundreds of quality used cars, including used hybrids and used electric cars. Because we deliver anywhere in the UK, we also provide free delivery and pick-up service, so if you are also looking to part exchange your old car, we will do the who transaction for you and take your old car away after we deliver your new car to your home or place of work.
So even if you can’t find the used car of your dreams on our website, WOO Carz offers a sourcing service that enables you to select the car of your choice, and then we will source it within our network of units and well-established partners in the industry.
To find out more about our current offers and great deals, call WOO Carz now on 02382 543 928 and speak to one of our friendly advisors, or to find out more about what type of car finance approval you can obtain, click here for a decision within 1 hour.
WOO Carz is authorised and regulated by the Financial Conduct Authority under reference number 626798. All finance is subject to status.