German luxury sports car manufacturer Porsche has finalized the sale of its 45 percent stake in hypercar builder Bugatti Rimac and its 20.6 percent holding in Croatian vehicle technology company Rimac Group for approximately one billion euros. Porsche announced the completion of the transaction in an official statement published on its corporate website.
The buyer consortium is led by HOF Capital, an international venture capital firm headquartered in New York. Abu Dhabi investment fund BlueFive Capital participated as the largest individual investor within the purchasing group. Porsche and the consortium originally signed the agreement for the sale in April.
From the one billion euro proceeds, Porsche AG will direct 250 million euros toward further financing its employee pension obligations. Following the receipt of funds from the deal, Porsche raised its 2026 profitability forecast for net cash flow in its automotive business, increasing the projected margin from between 3 and 5 percent to between 5.5 and 7.5 percent.
Bugatti ownership structure
The sale marks the end of involvement by Volkswagen Group in the Bugatti brand after nearly three decades of ownership. Porsche operates as a subsidiary of Volkswagen, the Wolfsburg-based automotive giant that holds a controlling stake in the Stuttgart sports car maker. Volkswagen acquired Bugatti in 1998, reviving the historic French luxury marque before transferring the brand into a joint venture formed between Porsche and Rimac in 2021.
Through its controlling interest in Porsche, Volkswagen had maintained an indirect holding in Bugatti. Following the transfer of Porsche's 45 percent share to the investor consortium, the Volkswagen Group retains no remaining ownership stake in Bugatti.
Bugatti is famous globally for engineering exclusive, multi-million-euro hypercars focused on top speed and luxury design. Rimac Group, based in Sveta Nedelja near Zagreb, specializes in high-performance electric supercars and supplies battery technology and electric powertrain components to global carmakers. The joint venture Bugatti Rimac was established to combine Bugatti's luxury brand heritage with Rimac's electric vehicle technology.
Strategic shift to core business
The divestment of these holdings forms part of a broader strategic effort by Porsche to concentrate capital and management focus on its core luxury car manufacturing operations. The German automaker has faced worsening market conditions across key international markets, including falling consumer demand in China and a slower global transition toward electric vehicles than car industry executives had anticipated.
China represents one of the largest export markets for premium European carmakers, and declining sales there have squeezed corporate profits. Porsche concluded 2025 with its sharpest drop in global vehicle sales since the 2009 global financial crisis, leading executive management to begin restructuring measures to protect operating cash flow.
Restructuring and asset sales
The disposal of the Bugatti Rimac and Rimac Group stakes follows several operational adjustments implemented by Porsche earlier this year. In early May, Porsche decided to close three subsidiary companies that were not directly involved in vehicle manufacturing as part of a strategic corporate reorganization.
Adjustments to the vehicle lineup followed shortly after the subsidiary closures. In June, company disclosures revealed that Porsche would reduce its overall vehicle model range to protect profit margins against declining profitability across key export markets.
Porsche also moved to sell off non-core corporate services during the summer. In August, the automaker agreed to sell its management and IT consultancy subsidiary MHP to Tata Consultancy Services, a major IT services enterprise based in India.
Porsche Chief Executive Officer Michael Leiters explained that both the sale of the IT consultancy and the exit from the hypercar holdings were driven by the company's decision to focus resources strictly on its core automotive manufacturing business.
