On February 23, we received information from relevant sources that Volkswagen and Porsche Holdings reached an updated agreement that would ensure that Porsche would be listed independently, and if Porsche could be listed independently, its valuation would reach 60 billion to 85 billion euros, potentially becoming one of the largest IPOs in Europe!
Valuations are as high as 85 billion euros
On February 22, a number of media pointed out that Porsche was seeking to break away from the Volkswagen Group and wanted to list independently in Germany, which was later confirmed by a statement issued by the Volkswagen Group.
Volkswagen and Porsche Holdings reached an agreement to ensure that Porsche will be listed independently, but ultimately need to be signed by the board of directors of Volkswagen and Porsche Holdings before it can continue to advance.
According to Wall Street's estimates, if Porsche Can be listed independently, its valuation is about 60 billion to 85 billion euros, which translates to about 423.6 billion yuan to 600 billion yuan, and the current market value of the entire Volkswagen Group is about 112 billion euros, about 790.7 billion yuan, and Porsche listing is almost recreating the market value of a Volkswagen Group!
Strong sales in the Chinese market
In the past 2021, Porsche's annual sales exceeded 300,000 units for the first time, and sales reached 301915 units, up 11% year-on-year from 2020.
In the Chinese market, Porsche completed 95671 new car deliveries, an increase of 8% year-on-year, China has also become the world's largest single market for 7 consecutive years, it can be said that Porsche's good results are inseparable from the pursuit of Chinese consumers.
Rich product line to harvest sales
Excellent sales are inseparable from the rich product line, and many of the models launched by Porsche have achieved good sales in the market.
SUV models such as the Porsche Macan and Cayenne give consumers who like the Porsche brand concept but want to meet their household needs more good choices.
Among them, the sales of the Macan in the Chinese market have continued to be hot after its launch, and now it has become a luxury SUV full of streets.
The sports car camp, 911 and 718, also occupy a considerable share of the luxury sports car segment.
In addition, in terms of electric models, Porsche China has introduced 16 pure electric and plug-in hybrid models.
According to the data, Porsche's electrified new car deliveries accounted for 18% in 2021, a growth rate of 8%. But this ratio is obviously not enough, porsche still has to vigorously promote the electrification process.
According to volkswagen group earnings for the third quarter, in the first nine months of 2021, Porsche generated a profit of around 3.4 billion euros, accounting for about 34% of the Volkswagen Group's overall automotive business. Moreover, in recent years, Porsche's financial performance in the Chinese market and the global market has been very stable, and the return on sales has reached 15%.
The reason behind this is the trend toward electrification
Last year, the Volkswagen Group announced that it would invest 73 billion euros in the electrification of the brand around new electric platforms, new battery technologies, charging networks and autonomous driving.
This 73 billion is definitely an astronomical amount for Volkswagen, after all, the valuation of Volkswagen Group is about 112 billion euros. Therefore, the Volkswagen Group also hopes to raise funds in the stock market to make efforts in the field of pure electric models!
Ferrari was the first stock of a sports car
As early as October 22, 2015, Ferrari was listed on the New York Stock Exchange by Ferrari Chairman Sergio Marchionne in the presence of Fiat Chrysler Chairman John Elkann and ferrari's many senior executives.
Ferrari's stock trading code on the New York Stock Exchange is "RACE", which is very personal Ferrari opened with a sharp rise of 15.4% on the first day of the listing, and then the gains quickly narrowed, closing at $55 per share, an increase of 5.77% compared to the issue price of $52, and the brand's market value was $11.3 billion.
Write at the end
Referring to Ferrari, Porsche is likely to be warmly welcomed by capital after its listing, and its stock price is worth looking forward to. After all, Porsche's model camp is rich, and last year's sales exceeded 300,000 vehicles, which can grow against the market under the epidemic. The Volkswagen Group can also raise funds through the sale of shares in this Porsche listing to switch to the electric vehicle market, which is a win-win situation.