Porsche slows speculation on the IPO

In an official statement, Porsche sought to retract his remarks, rejecting any "speculation" about a possible registration of all or part of society.

"Currently, Porsche does not plan to launch an initial (partial) public offering. The Stuttgart-based sports car manufacturer has denied any claim that an IPO is in progress, "the company said in a statement.

Porsche Chief Financial Officer Lutz Meschke made the remarks on the sidelines of a Porsche media event on Friday, but only reported on Monday. Porsche did not deny that Mr. Meschke made those comments or asserted that he was misrepresented in reports.

Asked by reporters about a possible list of all or part of Porsche, Mr Meschke said that a group of luxury cars including the brands Volkswagen, Porsche, Lamborghini, Bentley and Bugatti, would have much more value than Ferrari , announced in 2015. around 19 billion euros. According to him, a valuation of 60 to 70 billion euros Porsche luxury group "does not seem exaggerated," according to media reports.

Meschke also said he raised the issue with the Porsche family, Volkswagen's largest shareholder, and with Volkswagen executives, adding that any decision on an IPO was the responsibility of Porsche's parent company, Volkswagen, according to reports.

He seems to have spoken so thoroughly that analysts and investors viewed his comments as a clear indication that Volkswagen was seriously discussing a possible list of its most valuable brands, which many analysts have urged the group to consider.

"We believe that a separate list (preferably as a spin-off) of Porsche AG is one of the most obvious and logical ways to generate value for the VW group," he said. said Arndt Ellinghorst, London-based automotive analyst at Evercore ISI, in a note to customers on Monday.

Analysts have long complained that the market, which includes more than a dozen brands and activities, significantly compromises the Volkswagen market. Mr Ellinghorst has suggested that if the company sells minority stakes in various brands and companies, the market value of Volkswagen could reach 150 billion euros, up from around 70 billion today.

"The VW Group is a locked value story," said Ellinghorst.

That's why investors have been watching Porsche's chief financial officer on Monday, leading to a nearly 2% rise in Volkswagen's share at midday, outperforming the wider Dax index. German blue chips listed on the Frankfurt Stock Exchange.

Volkswagen is also preparing its truck business, Traton AG, for its referencing, but it has not yet set a date for this offer. Volkswagen has transformed the truck business into a wholly owned joint stock company to prepare it for eventual sale.

The inclusion of Ferrari three years ago encouraged owners of other sports car and luxury car brands to consider giving up their valuable assets. Investors appreciate the opportunity to trade on individual companies, as both the listed unit and its parent company tend to be valued upwards after an IPO.

In the case of Ferrari, its parent company

Fiat Chrysler Automobiles

NV saw its shares increase following the split. In the case of Volkswagen, a list of Porsche could add substantial value to the company's market value if it were considered a luxury brand, like Ferrari, said Mr Ellinghorst.

Analysts are convinced that Porsche could succeed in selling to investors as a luxury maker, but there is a risk of loss of value if investors do not buy the land.

Aston Martin Lagonda Global Holdings

PLC is positioning itself with investors as a luxury brand, often comparing itself to Ferrari, in order to justify the valuation of the company at more than six billion pounds. But when it went public last month, it had to lower the selling price of its shares and was eventually quoted at a valuation of about 4.3 billion pounds sterling ($ 5.7 billion).

Write to William Boston at [email protected]