Architect of modern Volkswagen cuts ties with share offering

Former Volkswagen Chairman Ferdinand Piech has consented to sell a huge part of his stake in the company that controls Europe’s largest automaker, minimizing his links with Volkswagen after over twenty years of undeniable guideline.

Volkswagen’s ruling Porsche and Piech families have accepted to purchase a big part of the 14.7 percent stake Piech holds in Porsche Automobil Holding SE, which in turn controls 52.2 percent of voting shares in automaker, exercising their right of first refusal on the shares, Porsche SE stated.

It did not state precisely how much of the stake the families would purchase and provided no details on the cost. Piech’s overall stake in Porsche SE is worth about 1 billion euros ($1.1 billion) at present market value.

The withdrawal from Porsche SE of Piech, had been anticipated after the company informed last month he was in discussion about offering his holding.