The Croatian executive claims he has been in discussions with Porsche leadership over purchasing its shares in the partnership, and if Rimac Group does indeed acquire Bugatti in full, it would completely divest the brand from its resurrected roots within the Volkswagen Automotive Group.
Looking For Some Croatian Autonomy
During an interview in Singapore, Rimac acknowledged that he had been discussing a potential deal with Porsche shareholders, who include descendants of the brand's founder Ferdinand Porsche and the founder's grandson, the visionary Ferdinand Piech. As a result, the 37-year-old entrepreneur said that there are some emotions that go into the decision-making, regarding both the business and family elements of the transaction – both the Porsche and the Piech families have a stake in the legendary German automaker.
I just want to be able to make long-term decisions, to make long-term investments and to do things in a different way, without having to explain to 50 people.
–Mate Rimac, Bugatti Rimac CEO
However, Rimac said that he wants to have a bit more control over the joint venture, which is about to launch the hybrid V16–powered Bugatti Tourbillon early next year. Rimac Group's rather meteoric rise in both reputation and corporate value must be a bit surprising for the CEO, whose hypercar business started in 2009 by modifying an E30 BMW 3 Series and a handful of Opel Speedsters to run on electric power. It makes sense why he might like to reinvent the Bugatti Rimac joint venture in his own image, retaining more control over the brands' long-term aspirations.
The Sale Could Be Good For Porsche, Too
The German sports car manufacturer has found itself in a somewhat sticky situation, with cars like the Macan Electric (which shares its platform with a variety of Audis) straddling the line between premium and prestige branding. Add to that slowing demand for premium EVs as a whole – which has led to layoffs and revised product planning – and it might make sense for the company to make a little cash by selling its 45-percent stake in Bugatti Rimac.
Speaking of, Bloomberg reported in April that the joint venture was worth around $1.1 billion, meaning Mate Rimac could be getting 495 million smackers ready for the transaction. The outlet says that the cash is coming from an unnamed international investor group and private equity, as well as from the CEO himself.
That might not be the end of Porsche's involvement in Rimac as a whole, however. The German company still has a 22 percent stake in Rimac Group, the technology and engineering company that owns 55 percent of the supercar joint venture. Today, Rimac (the man) is the largest shareholder in Rimac Group, retaining 35 percent of the brand in total.
