News Porsche / Volkswagon - old news but still awesome

[Yoni]

I am just watching a documentry on this... completely awesome

Link to programme and repeats

http://www.bbc.co.uk/programmes/b00h3mxz

Below is an article written back in October 08.

How bosses at Porsche outmanoeuvred Volkswagen - Times Online

 

[old.user4556]

Great post Yoni and very interesting material.

I love the Porsche brand and their cars. I feel thoroughly satisfied and happy that the hedge funds got a thorough raping, it's about time since some companies have been run into the ground by short selling. Probably the best car i've driven.

 

[TdC]

I don't understand. Porsche tried to fox VW?

 

[Dark Orb Choir]

porsche want to buy VW, they bought some of their shares and had options on lots of other shares.

VW shares did not lose value like some speculators thought they might do and they lost money.

Porsche cannot really buy all of VW shares as to get a controlling interest they need 80% of them, some administrative part of germany owns 20.1% of VW so unless the law changes they are pretty much stumped.

 

[old.user4556]

Where did you read that?

The move by Porsche to increase its stake in VW from 31 percent to just more than 35 percent - a controlling interest under German law - comes amid rising tensions between the two companies, as well as within the Porsche family.

 

[Cadelin]

Where did you read that?

There is a German law which protects VW from takeover.

Porsche are the largest shareholder in VW but until that law is removed there isn't much they can do.

I do find it funny that the hedge funds are complaining about losing billions though. Porsche didn't have to declare how much of the company they owned and short selling is clearly a gamble.

 

[Ctuchik]

There is a German law which protects VW from takeover.

Porsche are the largest shareholder in VW but until that law is removed there isn't much they can do.

I do find it funny that the hedge funds are complaining about losing billions though. Porsche didn't have to declare how much of the company they owned and short selling is clearly a gamble.

need more of those laws tbh, if all they are for is to protect jobs.

 

[old.user4556]

There is a German law which protects VW from takeover.

I'm talking about a controlling interest, not a takeover.

At this moment, they can't have a complete takeover but that is about to be challenged and I'd stake my money on it being overturned.

 

[Ctuchik]

that doesent really mean it will get changed tho even if germany lose. if they dont want to change that law nothing can make them do so.

 

[Cadelin]

I'm talking about a controlling interest, not a takeover.

With the law in place as it is currently its difficult to define what a controlling interest means. You could define a controlling interest to be 80% of the shares which is required to make some decision. The term is ambiguous, I was just trying to clarify something that I didn't think was clear from the article.

 

[DaGaffer]

porsche want to buy VW, they bought some of their shares and had options on lots of other shares.

VW shares did not lose value like some speculators thought they might do and they lost money.

Porsche cannot really buy all of VW shares as to get a controlling interest they need 80% of them, some administrative part of germany owns 20.1% of VW so unless the law changes they are pretty much stumped.

That's no different to the situation VW (and lots of other German companies) were in themselves though. Lower Saxony had the very same stake in VW but it didn't stop the VW board "controlling" the company, and nor will it stop Porsche. All this came about of course because Ferdinand Piech wanted to get his uncle's company and VW under one roof and protect Porsche's largest supplier, and generator of the economies of scale it needs (it indirectly takes advantage of VW's supply chain, now it will be more overt), and also stop VW doing anything stupid, like buying GM (the gist of it is that if VW failed, Porsche fails as well, so this is the way to protect themselves).

 

[Wazzerphuk]

Great post Yoni and very interesting material.

I don't understand. Porsche tried to fox VW?

I don't understand either. Why is two old links a "great post?" It might be good linking, but it's not a good post.

 

[nath]

My God you're sexy when you're being a pedantic spack.

 

[old.user4556]

A girl posting something about cars is always a good post.

Surely you've got better things to do wazz?

 

[Wazzerphuk]

My God you're sexy when you're being a pedantic spack.

And these days I really find myself having to hold back. I could tear apart a lot of things on these boards. I'm too mellow these days

 

[Yoni]

Sorry I didn't write more... I find it interesting that according to the programme that only £1m profit of Porsche is down to selling cars.. the rest due to their dealings with VW.

Also Porsche I believe now have c. 50% of the holding and are working towards 75%. The phenomina of this situation is that whilst the shares of companies world over started plummeting starting falling like whores panties after being given a 50bob note VW's did not fall (why because Porsche held them through various means and were not trying to sell)....

I think the strategy Porsche used so very clever, however due to different laws governing public limited companies in the UK could never happen there.

As for knowing about cars.. I know more than people think and yes both companies interest me deeply: Primarily becausee I love and have always loved the 911, and secondly because I rate the contribution that VW have made towards this industry.