Porsche has thrown money at the bankrupt battery company Varta AG to secure production of batteries for hybrid cars.
A few weeks ago, Boosted could tell that the battery company Varta AG was on the brink of bankruptcy due to an acute debt crisis. But now a closure appears to have been averted.
At least for the part of Varta that produces batteries for consumer electronics. Here you also have the subsidiary Varta V4Drive, which Porsche is interested in.
Porsche and the current majority shareholder in Varta AG, Michael Tojner, have thus agreed to secure 100 million euros, equivalent to 746 million kroner, to the battery company through a bank loan.
The agreement means that operations at Varta AG are secured until 2027. However, former creditors must write down their claims by as much as 60 percent if the rescue plan is to be implemented. All minor shareholders must wave goodbye to their investments in the listed company.
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– Despite the current economic challenges, the company has great potential to make Europe's battery cell research and production more independent of Asian suppliers.
– Together with Porsche, we want to contribute to that, says co-owner Michael Tojner, according to the newspaper Frankfurter Allgemeine Zeitung .
That Porsche is throwing money at Varta AG is not entirely accidental. The company produces the hybrid package that the all-new 911 GTS uses. Read more about that car here.
Varta AG is far from the only company with pocket pain. In virtually the entire automotive industry, there is currently a great shortage of money. Several car brands have already succumbed. Most recently, Fisker Inc.'s Danish subsidiary has been closed down.
But subcontractors also have a hard time. BBS is waiting for the 5th bankruptcy in the company's history, and for the cabin manufacturer Recaro it looks at least as bleak.
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