TIMELINE-Porsche, VW prepare ground for merger

Aug 13 (Reuters) - Volkswagen (VOWG.DE) Chief Executive Martin Winterkorn is set to become CEO of Porsche SE (PSHG_p.DE) as well, as the German carmakers seek to forge an automotive juggernaut, two people familiar with the matter said.

Below is a timeline of the paths that have led the two companies to the point of merging:

Sept. 25, 2005 - Porsche says it plans to buy a stake of about 20 percent in VW. Three days later it emerges with a 10.3 percent voting stake, subsequently increased via forward-rate agreements.

Aug. 2, 2006 - Porsche Chief Executive Wendelin Wiedeking first advocates the abolition of Germany's "VW Law" that caps voting rights in VW at 20 percent.

Nov. 15 - Porsche's supervisory board authorises management to increase its VW stake to 29.9 percent, triggering speculation it plans to gain majority control.

April 30, 2007 - Porsche submits mandatory takeover offer after crossing 30 percent threshold.

Oct. 23 - European Court of Justice rules against VW Law.

March 3, 2008 - Porsche supervisory board gives go-ahead to raise its VW voting stake to over 50 percent.

Oct. 26 - Porsche says it holds stock and options that give it control of 74 percent of VW's votes and announces plans for a "domination" agreement. A resulting scramble for VW shares by shortsellers caught out by the announcement briefly makes VW the world's most valuable company.

Jan. 5, 2009 - Porsche says it has raised its VW voting stake to 50.8 percent and confirms its plan to raise stake to 75 percent this year if conditions allow.

May 6 - Laden with debt as car markets plunge, Porsche drops takeover plan and says it will pursue a merger instead.

May 12 - VW Chairman Ferdinand Piech names an ally, VW Chief Executive Martin Winterkorn, as his candidate to head the merged group. Warns Porsche it must get its 9 billion euro debt under control before any deal can be agreed.

May 17 - VW halts tie-up talks with Porsche, says its smaller peer and shareholder is not ready for a merger. Two days later Porsche and VW agree to work together again.

May 25 - Porsche confirms it received a 700 million euro loan from VW.

June 9 - Porsche starts talks with investment fund Qatar Investment Authority (QIA) to sell a stake in its automobile holding via a share capital increase or by selling its options for Volkswagen shares.

June 25 - Germany denies Porsche a state loan.