2008 Bugatti Veyron on 2040-cars

Auto blog

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:

The Art of Bugatti exhibit opens at Mullin Automotive Museum

Southern California's wonderful jewel, the Mullin Automotive Museum, opened its latest exhibit this week and it is worthy of a road trip. Titled "The Art of Bugatti," the new show is an intimate look at more than a century's worth of Bugatti family creativity - automotive enthusiasts associate the name with cars, but the Italian-born, French-based Bugattis were accomplished sculptors, painters, furniture makers as well as car collectors. The work on exhibit in coastal Oxnard, about an hour northwest of Los Angeles, includes more than 40 automobiles (and an aircraft) from Ettore Bugatti, nearly two dozen pieces of sculpture from Rembrandt Bugatti and more than 40 pieces of furniture from Carlo Bugatti.
Peter Mullin, the museum's founder and chairman, owns the largest private collection of Bugattis in the world. This exhibit celebrates the achievements of the Bugatti family. "It was one of the rare artistic and artisanal families of the era. Everyone in the family just exuded huge artistic talent," said Mullin.
At an early private peek at the collection, our eyes were glazed over by the spectacular 1932 Bugatti Type 41 "Royale" Coupe de Ville, with a massive 12.7-liter straight-eight, and the 1927 Bugatti 35C race car, one of its most successful competitive models. The famed 1936 Bugatti Type 57SC Atlantic is also on display, which recently sold in the range of $30-40 million. One of the most unique items is the Bugatti 100P, a full scale reproduction of a V-tail wood twin-engine aircraft designed by Ettore Bugatti and Louis de Monge, built for the 1939 Deutsch de la Meurthe Cup Race (there are plans to fly it in the near future).

Rimac is reportedly close to buying Bugatti from the Volkswagen Group

Croatia-based Rimac is finalizing a deal to purchase Bugatti from the Volkswagen Group, according to an unverified report. If the rumor is accurate, the sale would propel Rimac to the top of the automotive industry, guarantee that Bugatti's future is electric, and mark the beginning of Volkswagen's efforts to divest its empire. Executives in Wolfsburg gave the deal the green light in September 2020, according to anonymous sources who spoke to British magazine Car, but the company's supervisory board hasn't approved it yet. Selling the French company isn't as simple as sending company founder Mate Rimac an email with an account number. Insiders explained Volkswagen would likely trade Bugatti and all of its assets for a significant stake in Rimac that would be transferred directly to Porsche, which already owns 15.5% of the brand. Officials hope to increase that figure to about 49%, meaning Bugatti is theoretically worth about 33.5% of Rimac, which was founded in 2009. Bugatti told Autoblog it can't comment on speculation. Mate Rimac gave us a similar answer. Rumors of a Bugatti sale have hovered around the automotive industry for several years, and they've never materialized. In theory, spinning off the brand would be relatively easy because it's not as deeply integrated into the Volkswagen Group as its sister companies. It doesn't share its W16 engine with another carmaker, for example. And yet, Car speculates Lamborghini, SEAT, ItalDesign, Bentley, and Ducati will also be sold in the coming years, leaving Volkswagen with its namesake division, Skoda, Audi, Porsche, Scania, and MAN. Volkswagen is having an estate sale to fund the development of electric, autonomous, and digital technologies. Its downsizing will send ripples through the auto industry. Porsche could move upmarket if it doesn't have to worry about stepping on Lamborghini's toes, for example. Spinoffs are always risky, so some companies may not survive if they're not bolstered by economies of scale. As of writing, there's no word on who will pick up the brands being divested under this scenario. And, keep in mind none of this is official. Volkswagen hasn't commented on the report. We'll update this developing story as more information becomes available.