Porsche’s potential initial public offering (IPO) has not yet been confirmed, Porsche Automobile Holding SE recently confirmed.
In February, Volkswagen AG confirmed that they were in further discussions with Porsche Automobile Holding SE to bring the sports car maker to the public. Although the final decision remains to be made.
“We are working on a financing plan for an IPO (initial public offering) to be strengthened in a variety of valuation situations,” said Hans-Dieter Poitesh, SE chairman at Porsche. Reuters. “The actual feasibility of an IPO depends on a number of different influencing factors … the final decision has not yet been made.”
Read more: VW confirms “advanced talks” on a potential Porsche IPO
Some analysts suggest that the Porsche could be worth up to $ 100.7 billion and if it does, it will unlock a significant amount of funds that VW could only use as part of its transformation to become an electric car maker.
Herbert Dice, chief executive of VW, recently stated that he believes the fourth quarter of this year will be ideal for a Porsche IPO. While talking about this in 2021, Dies initially made some reservations about taking the Porsche public, but it comes down to, “You don’t want to leave a pearl like the Porsche.”
Porsche has in the past considered the idea of an initial public offering. In late 2018, Lutz Mess, the then chief financial officer of Automaker, told Mess that an IPO could help unlock the value of Porsche, much like the successful IPO of Ferrari. Mess believed that the market value of an independent Porsche could compete with that of the entire VW group.