The never-ending Porsche-Volkswagen story has got a new twist in it as according to a report from Reuters, Porsche asked the European Commission for permission to take over Volkswagen. The E.U. has a time frame of one month (until July 2) to consider whether the deal should win competition approval or requires further investigation.
Porsche has unsuccessfully tried several times this year to take over VW. Just two days ago (May 29), VW’s second-largest investor, the German state of Lower Saxony bought 376,000 shares worth €41 million euros ($55 million) to protect its holding as employees exercise options. Why? Because VW is protected from a hostile takeover by a 47-year-old German law that allows anyone with a 20 percent holding the right to block major decisions. As we’re speaking, Porsche's total stake in VW accounts to 30.92 percent of the voting rights. We’ll get back to this developing story later on the day. Via: Reuters
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