VW Group comes one step closer to the sale of its Bugatti division

According to the recent reports, the Volkswagen Group is close to signing a deal with the EV specialist Rimac. The deal that is not yet official or confirmed involves selling the Bugatti brand to Rimac Automobili. It is said to be a part of consolidation on the automaker’s (VW) volume car operations. 

The brand that has developed its finesse around 16-cylinder hypercars, is likely to manage the transfers via Porsche. Volkswagen’s end of the deal would comprise a bigger, majority share exchange in the Rimac brand. Previously, Porsche was a stakeholder of 10% in Rimac (in the year June 2018) which was further increased to 15.5%, later that year.

The exchange of banners first came into the picture when reports from Car Magazine suggested the event, last September. The proposed sale was the primary topic over one of the recent board member meetings, held at Volkswagen Group. 

Interestingly, once official, the exchange of subsidiaries will improve Porsche’s holding with Rimac. The suggested share is said to boost from 15.5 percent to as much as 49 percent in its shareholding. However, the purchase of the hypercar brand will be a result of agreements held amongst the current stakeholders, including the battery manufacturer specialist, Camel Group from China, and the Hong Kong-based China Dynamics.

Commenting on the events and rumors that are generating a buzz, Porsche CEO, Oliver Blume commented, “At the moment, there are intense deliberations on how Bugatti can be developed in the best possible way. Rimac could play a role here because the brands are a good technological fit.” Further, he also added, “There are various scenarios with different structures. I believe that the issue will be decided by the group in the first half of the year.” 

Bugatti’s potential buyer, Rimac is the brainchild of Mate Rimac that was found in 2009. The investors in the group include Porsche, Kia Motors Corp. Hyundai Motor Co., and the battery-maker Camel Group Co.

Lastly, Sources say VW executives approved the deal last week, but it has yet to be signed off by the supervisory board.

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