What is VW doing? Options

[grantsfo]

(IMG:http://www.914world.com/bbs2/html/emoticons/ohmy.gif)

http://www.vwvortex.com/artman/publish/vol...icle_1647.shtml

[r_towle]

QUOTE (horizontally-opposed @ Jan 5 2006, 01:08 PM)

But it might not happen. Word has it that ol' Bernd wants Piech off his board. Apparently, he didn't know too much about the Porsche/Piech plan to acquire 20 percent of his company until it was too late. He is not happy and has issued nice statements like VW won't change its direction or strategy to accomodate Porsche.... I predict a falling out for him. Again. (IMG:http://www.914world.com/bbs2/html/emoticons/popcorn[1].gif) pete

The reason that porsche was convinced to aquire its stake in VW was purely a german thing.

VW was open for a foreign body (ford, GM) to come in a buy up that 20% share.

It was for sale...

In Germany there are quite a few laws that make it almost impossible for a company, especially such a large german symbol like VW, to be purchased by foreigh investors...

No investor can hold more than a 20% stake. This is an old law that is still in effect.

Also there are alot of anti-foreign laws about aquiring certain companies...I say that with tongue in cheek....these laws are applied for certain companies...like vw...etc.

It is not a bad thing, but from what I heard, porsche was the only company with similar interests that actually had the cash...merc is still back pedaling from aquiring chrysler..bmw also has lost quite a bit in several recent aquisition that did not work out...

Porsche did this as an investment, and a poor one if you ask me...the return on investment for porsche would have been better if they stuck to trading versus sinking all that cash into vw...

Rich