Volkswagen’s management and supervisory boards will meet on Monday to decide whether to proceed with the long-awaited listing of Porsche in late September or early October, the carmaker announced on Saturday.
Volkswagen will also be asked to approve the sale of 25% plus one share of ordinary shares in Porsche AG to Porsche SE, as outlined in a framework agreement signed by the two parties in February.
That would give the Porsche and Piech families, who own Porsche SE, a blocking minority, bolstering their push for greater control of the carmaker founded in 1931 by their ancestor Ferdinand Porsche.
Porsche SE confirmed Monday’s meeting in a separate statement, adding that the listing’s launch was still subject to market developments and further board discussions.
According to the framework agreement reached in February, 25% of Porsche’s preference shares will be sold on the open market, representing only 12.5% of the company’s total capital.
According to Reuters calculations, this could increase to 10.6 billion euros ($10.55 billion) if the brand’s valuation reaches the upper end of investor estimates of around 85 billion euros.
According to Refinitiv data, this would make the listing one of the largest in German history and the largest in Europe since Enel SpA in 1999.
According to the plans, ordinary shares would be solely owned by Volkswagen and Porsche SE and would not be publicly traded.
Some investors have questioned the timing of a stock market debut that would put Europe’s largest automaker to the test at a time when leading company valuations have shrunk due to the insecurity of war and record energy costs.
“It is becoming increasingly clear that shareholder families are prioritizing their own interests,” said Henrik Schmidt, a governance expert at Volkswagen investor DWS.
