Porsche is set to gain a majority control of Volkswagen in September or October. It is expected that Porsche will hike its share from 31 percent to more than 50 percent. It was mentioned that an approval is still needed, coming from the European Commission and 15 other cartel offices. If the approval has been received, then Porsche AG will raise its stakes in VW to more than 50 percent. Right now, it was reported that Porsche and VW are discussing the possible areas of cooperation. One of the things that are being discussed is the idea of producing a small Porsche SUV using the platform of the new Audi Q5 and also the idea of jointly producing the next generation Audio TT and the Porsche Boxster.
But the news of a Porsche takeover wasn’t warmly welcomed. At a meeting in Hamburg the executives of Porsche and the a stake holder- the German state of Lower Saxony clashed over the plans. The German state which holds a 20.3 percent state at Volkswagen seeks a continuation of the so-called Volkswagen Law. A law that effectively protects the VW brand from takeover bids coming from outside Germany.