Volkswagen gets $8.8 billion by selling preferred Porsche shares

BERLIN (Reuters) -Volkswagen raked in 9.1 billion euros ($8.8 billion) via the sale of preferred shares in sportscar brand Porsche, less than the maximum because a greenshoe option was only partially exercised, it said on Tuesday.

That puts the free-float of Porsche’s preferred shares at 24.2%, the carmaker said. Volkswagen would have received 9.4 billion euros in case of a fully drawn greenshoe option, it said last month.

Stabilization manager Bank of America gave notice to Volkswagen to partially exercise the greenshoe option in the amount of 11,059,061 non-voting preferred shares of Porsche, Volkswagen said.

Total proceeds for Volkswagen, which include the sale of 25% plus one ordinary share of Porsche AG to Porsche SE, therefore stand at 19.2 billion euros.

Volkswagen listed Porsche on the Frankfurt stock exchange last month in what has been Germany’s second-largest listing on record. Since the listing, Porsche shares have gained 5.8%, giving it a market valuation of 79.5 billion euros, more than the 74.5 billion for parent Volkswagen.

($1 = 1.0311 euros)

(Writing by Rachel More and Christoph Steitz, Editing by Miranda Murray)