Porsche to Sell Its Stakes in Bugatti Joint Venture and Rimac -- Update

Dow Jones04-24

By Dominic Chopping

Porsche agreed to sell its stakes in hypercar joint venture Bugatti Rimac and electric-vehicle maker Rimac Group, moving to focus on its core business as it continues to work through a turnaround program.

Porsche and Rimac established the Bugatti Rimac joint venture in 2021 to house the Bugatti brand, with Porsche holding a 45% share and Rimac owning the remaining 55%.

Porsche also holds a 20.6% stake in Rimac.

The deal announced Friday will see Porsche sell both of those stakes to a consortium led by U.S.-based investment firm HOF Capital, and which includes Abu Dhabi-based BlueFive Capital as its largest investor as well as institutional investors across the U.S. and European Union.

Financial terms weren't disclosed.

"With the sale of our stake, we demonstrate that we will focus Porsche on the core business," Michael Leiters, chief executive of the German luxury sports-car maker, said.

Former McLaren boss Leiters took over at Porsche at the start of this year after a series of guidance downgrades last year as the automaker grappled with a slow uptake of electric vehicles, weakness in China, and U.S. tariffs.

He has begun laying out plans to turn Porsche's fortunes around through streamlining the management structure, cutting hierarchies, and reducing bureaucracy to create a leaner and faster organization and boost the desirability of its products.

The company is investing in new gas-powered and hybrid models after deciding to delay the rollout of new all-electric cars--part of a product-realignment plan that saw the company book around 2.4 billion euros ($2.8 billion) in one-off costs last year.

Friday's deal is expected to complete by year-end, with Rimac taking control of Bugatti Rimac and creating a strategic partnership with HOF Capital and BlueFive Capital to support the company's next phase of growth.

HOF Capital will become Rimac's largest shareholder alongside Mate Rimac, founder of Rimac and chief executive of Bugatti Rimac.

Write to Dominic Chopping at dominic.chopping@wsj.com

(END) Dow Jones Newswires

April 24, 2026 05:17 ET (09:17 GMT)

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Porsche to Sell Its Stakes in Bugatti Joint Venture and Rimac -- Update

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