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Volkswagen may 'carve out' Lamborghini to list on the stock exchange

FRANKFURT — Volkswagen is drawing up plans to set up Lamborghini as a more independent unit, and is discussing long-term supply deals that could make it easier to list it on the stock exchange, two sources familiar with the matter told Reuters. "Volkswagen is in the process of carving out Lamborghini, and to organize future supply and technology transfer deals," one of the sources familiar with the matter told Reuters. The Italian sportscar brand, which is currently a division of Audi, could be partially listed, with Volkswagen retaining a controlling stake, the first person familiar with the talks said. There is no formal decision to divest Lamborghini, a second source said, adding that the timetable of any deal remained unclear. "This is a first step which gives VW the option to list the unit further down the line," the second source told Reuters. A third source familiar with the discussions said the future of Bugatti, Lamborghini and Ducati was discussed during a supervisory board meeting last Friday. The possibilities for how to electrify the Lamborghini and Bugatti brands through partnerships and investors was discussed, the third source said. Bankers and potential cornerstone investors in an IPO have been approached by the carmaker, the sources said. Volkswagen declined to comment. Volkswagen Group's Chief Executive Herbert Diess on Wednesday said the carmaker will announce "important steps" about the company's future before the close of the year. Volkswagen is reviewing what role its high-performance brands Lamborghini, Bugatti and Ducati will play within the multi-brand carmaker as part of broader quest for more economies of scale, senior executives told Reuters. A global clampdown on combustion-engined vehicles has forced carmakers to accelerate development of low-emission technology for mainstream models, leaving Volkswagen managers struggling to find resources to electrify low volume sportscar models. Related Video:

Audi R8 LMX has frickin' lasers for headlights

It might look like just another Audi R8, but Ingolstadt tells us this one is different: it is the limited edition Audi R8 LMX (click image above to enlarge) with laser-enhanced LED high-beam headlights. Audi introduced the laserlight technology on its R18 E-tron Quattro LMP1 race car and then promised a production version of it at this year's Consumer Electronics Show. The eyes on the R8 LMX employ the same method when traveling above 37.3 miles per hour, utilizing a tiny laser module in each headlight that, after conversion to white light, can throw a beam about 1,640 feet down the road.
Because no one should ever stop at lasers, buyers of the limited-to-99 examples of the R8 LMX will also get a more powerful engine, with 570 horsepower erupting from the mid-mounted V10; that's ten more horses than came with the R8 V10 GT introduced last year, but the 0-62 mile-per-hour time hasn't budged from 3.4 seconds. It comes in coupe form only, dressed in Ara Blue paint with carbon accents all around, exclusive wheels, red brake calipers, and a black Nappa leather interior with contrasting blue bits.
The order book is open now, and deliveries will begin this summer for those willing to lay down 210,000 euros for the privilege of using one of Superman's powers for good, as standard (the BMW i8 has laser-equipped high beams, but as an option). We won't see them here, though, for as with Matrix Beam lighting and Audi's sequential turn signals, US laws forbid such shenanigans. The press release below has more info.

BMW expects China to pass US as its top market in 2013

When you combine two billion citizens, 100 cities with more than a million inhabitants and an economy that's as unrestrained as Jim Cramer on an Adderall binge, China's explosive auto industry growth shouldn't be a huge surprise. Audi already lists the communist country as its largest market, while Mercedes-Benz is expecting it to be there in the next few years. Now, according to a report from Automotive News, BMW is expecting the People's Republic to overtake the United States in sales by the end of 2013.
We already discovered the extent that BMW is going to in establishing a dedicated Chinese stronghold, when we explored BMW's Shanghai-based DesignWorks studio ahead of April's Shanghai Motor Show. And while we argued that DesignWorks Shanghai hasn't really borne fruit, it isn't due to a lack of sales.
BMW China has seen a 16-percent jump in year-over-year sales, lead by a 28-percent gain in 5 Series sales. Part of BMW's growth strategy comes from an ever-expanding dealership network. Remember those 100 cities we mentioned with over one million people? According to Karsten Engel, CEO of BMW's Chinese operations, those 100-million-plus city dwellers don't have access to a premium dealership.