The German car group Volkswagen will sell a majority stake in its prestigious French brand Bugatti to the Croatian company Rimac. Due to the business, it will create a joint venture with Porsche, which is also part of Volkswagen. Porsche and Rimac announced it in Dubrovnik today, confirming earlier media reports, the DPA agency said.
The newly created company will be called Bugatti-Rimac. The Croatian manufacturer of sports electric cars will own 55 percent of it and will take over the operational management. German sports car manufacturer Porsche will have the remaining 45 percent. The company will be established in the fourth quarter and will be based in Zagreb.
Details of the financial terms of the agreement were not disclosed by the company. The agreement has yet to be approved by the antitrust authorities of several countries.
Porsche and Rimac have been interconnected for several years. Porsche has had a stake in Rimac since 2018. In early March, it announced that it had increased it from 15 to 24 percent.