What you need to know about the upcoming Porsche IPO – and why trading next week could value Germany's sports car maker at nearly £70 billion 🤑
► Why Porsche is worth nearly £70bn
Trading in shares will begin on the Frankfurt stock exchange on 29 September 2022 – and it’s set to be Germany’s second largest initial public offering of all time. An IPO is a way for a private company to raise money by offering shares to the public. It’s a process that isn’t without risks , although in Porsche’s case it looks like a win-win.will be the fifth most valuable car maker, worth more than GM, Ford, Mercedes and BMW, and only around €20bn shy of its parent’s value.
The Group is already publicly traded, but its current enterprise value is only around twice its earnings, so selling more shares in itself would require a serious dilution of the major shareholders’ stakes, if not their voting rights, in order to raise the required cash. With 20 per cent of VW, the State of Lower Saxony guards its share as jealously as the Porsche-Piechs.