Here are key facts about the structure of the planned landmark listing:
- Porsche's share capital is being split in two: 455.5 million ordinary shares and the same number of preferred shares, totalling 911 million shares overall, a play on the company's most iconic model.
- Ordinary shares carry voting rights, which matter when it comes to the question of who controls the company.
- Preferred shares don't carry voting rights, but their holders will receive an additional dividend of 0.01 euros apiece on top of every dividend the company pays out on its ordinary shares.
- The stock market listing, expected in late September or early October, will only apply to the preferred shares.
WHAT'S BEING SOLD BY VOLKSWAGEN?
- As part of the deal, Volkswagen plans to sell 25% plus one ordinary share in Porsche AG to Porsche SE , the holding firm controlled by the Piech and Porsche families, effectively giving them a blocking minority in the namesake brand.
- Volkswagen also plans to sell 25% of preferred shares on the market; Qatar, Volkswagen's third-largest shareholder, has already committed to buy 4.99%, leaving another 20.01%, or 10% of Porsche's total capital, to other investors.
- Porsche SE, already Volkswagen's largest shareholder and holder of the majority of voting rights in Europe's top carmaker, has pledged to pay a 7.5% premium for its ordinary shares over the placement price of the preferred shares.
HOW MUCH MONEY WILL VOLKSWAGEN GET?
- Assuming a valuation range of 70 billion to 80 billion euros ($70-$80 billion), proceeds for Volkswagen could be anywhere between 18.2 billion to 20.8 billion euros
- In case of a successful IPO, Volkswagen will call an extraordinary shareholder meeting in December where it will propose to pay 49% of total proceeds, or 8.9 billion to 10.2 billion euros, to its shareholders in early 2023 as a special dividend.
WHO WILL CONTROL PORSCHE AG?
- Volkswagen AG and Porsche SE will jointly own all of Porsche AG's ordinary shares in a 75% minus one share-25% plus one share split.
- Overall, 75% minus one ordinary share of Porsche AG's total share capital will be owned by Volkswagen AG after the IPO
- Porsche SE will own 12.5% plus one ordinary share of Porsche AG's total capital while Qatar will own 2.5%
- The remaining 10% will be free-float.
($1 = 0.9985 euros)
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