Qatar pulls out of porsche holding company

The porsche and piech families have bought their shares in the porsche holding company from the sheikdom of qatar – and thus will have sole say in the future. According to the sovereign wealth fund, it had divested itself of its ten percent share in the holding company. All ordinary shares – i.E. All voting share certificates – are now in family ownership, as porsche automobil holding (pse) announced in stuttgart on monday. Neither side agreed on the purchase price of the shares. "The reunification of all ordinary shares in the hands of the porsche and piech families is an expression of our confidence in the promising future of porsche se as a major shareholder of volkswagen ag," declared supervisory board chairman wolfgang porsche. Pse’s main business is its stake in the volkswagen group, in which it holds just over half of the voting rights and just under a third of the capital.

Analysts had been expecting the sale for a long time. Volkswagen shares gained more than one percent at times, porsche shares gained almost half a percent. The latest sale of porsche shares was the result of the complete takeover of carmaker porsche (porsche ag) by volkswagen last year, it said. After a takeover battle between porsche and volkswagen, the sports car manufacturer ended up under the umbrella of the wolfsburg-based company in july 2012. What remained was porsche-holding se, which is controlled by the piech and porsche families. Qatar had joined porsche se in august 2009.

Under the leadership of former ceo wendelin wiedeking, porsche had attempted to swallow the much larger wolfsburg-based group from 2008 onward, but in the process overreached itself with financial transactions and accumulated billions in debt. In the end, volkswagen turned the tables and forced the automaker under its own corporate roof. The involvement of the state of lower saxony always plays a role in volkswagen’s success. With a share of around 20 percent, the state government in hanover can block important decisions within the group due to the so-called vw law.

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