Porsche on Monday said it agreed to establish a joint venture with Croatia’s Rimac Automobili that will include the Bugatti brand, confirming strategies mapped out earlier this year.
To be established in the fourth quarter and based in Zagreb, the venture, called Bugatti-Rimac, will be 55%-owned by Rimac, and Porsche AG will own the rest.
Volkswagen will transfer Bugatti to the entity, according to Porsche, adding Rimac CEO Mate Rimac will also lead the joint venture.
Volkswagen CEO Herbert Diess already said in March that Porsche would most likely form a joint venture with Rimac involving Bugatti and end up owning a small stake.
“We are combining Bugatti’s strong expertise in the hypercar business with Rimac’s tremendous innovative strength in the much promising field of electric mobility,” Porsche AG CEO and Volkswagen board member Oliver Blume said.
Under the joint venture, two hypercar models will be produced, the Bugatti Chiron and the all-electric Rimac Nevera.
All Bugatti models will be produced at the brand’s factory located in Molsheim, France.