Porsche’s initial public offering (IPO) was launched today in Germany, and according to The New York Times, it begins well. The IPO hit the German Stock Exchange and became one of the largest IPOs ever in Europe.
At launch, Porsche AG had a valuation of $72 million. Reuters reports that the shares rose during the day, peaking at $84.85 before falling back to $80.74. Four major investors represented 40% of the offer, including 25% for the Porsche and Piech families. There is no mention of the total number of shares offered; we previously reported that 911 million shares could make up the IPO, a nod to Porsche’s most famous vehicle, the 911.
By Reuters, €19.5 billion ($19 billion) was raised through the IPO. Just under half of that will go to Porsche’s parent company, Volkswagen. The funds will help support and advance the automaker’s ongoing electrification efforts.
Interesting way, Reuters also mentions that the value of Porsche AG is only slightly lower than that of VW, although in this case, slightly is still a difference of about $4.6 billion. Porsche attempted to take over Volkswagen in 2008 but failed, although this eventually led to a merger of the two brands in 2011.
Porsche joins a growing group of performance brands going public. Ferrari’s 2015 IPO got off to a rather shaky start, but values eventually rebounded more than 400% by the end of 2019. Our colleagues at DuPont Registry have researched demand for supercars, revealing that Ferrari and Porsche are leading the way with a noticeable margin over their competitors. With both companies listed on the stock exchange, the potential is certainly there for continued success.
Additionally, luxury brands in general have held up better in recent years than traditional automakers. More investment opportunities should be good news for these brands in the future.
Porsche’s initial public offering (IPO) was launched today in Germany, and according to The New York Times, it begins well. The IPO hit the German Stock Exchange and became one of the largest IPOs ever in Europe.
At launch, Porsche AG had a valuation of $72 million. Reuters reports that the shares rose during the day, peaking at $84.85 before falling back to $80.74. Four major investors represented 40% of the offer, including 25% for the Porsche and Piech families. There is no mention of the total number of shares offered; we previously reported that 911 million shares could make up the IPO, a nod to Porsche’s most famous vehicle, the 911.
By Reuters, €19.5 billion ($19 billion) was raised through the IPO. Just under half of that will go to Porsche’s parent company, Volkswagen. The funds will help support and advance the automaker’s ongoing electrification efforts.
Interesting way, Reuters also mentions that the value of Porsche AG is only slightly lower than that of VW, although in this case, slightly is still a difference of about $4.6 billion. Porsche attempted to take over Volkswagen in 2008 but failed, although this eventually led to a merger of the two brands in 2011.
Porsche joins a growing group of performance brands going public. Ferrari’s 2015 IPO got off to a rather shaky start, but values eventually rebounded more than 400% by the end of 2019. Our colleagues at DuPont Registry have researched demand for supercars, revealing that Ferrari and Porsche are leading the way with a noticeable margin over their competitors. With both companies listed on the stock exchange, the potential is certainly there for continued success.
Additionally, luxury brands in general have held up better in recent years than traditional automakers. More investment opportunities should be good news for these brands in the future.