Volkswagen to Squeeze Out Audi's Minority Shareholders

   By Jessica Sier 
 

Volkswagen Group SA plans to buy out minority shareholders in Audi and make the brand the leader of its research-and-development efforts, the company said on Friday.

The world's largest car manufacturer said it already holds 99.64% of the registered share capital of the premium Audi brand, and plans to increase its holding to 100% following Audi's annual general meeting.

"In the context of reorganizing competencies and responsibilities, Volkswagen AG plans to carry out a squeeze-out according to German stock corporation law in order to acquire the 0.36 percent of Audi's shares," Volkswagen and Audi said in a news release on Friday.

Audi's new chief executive Markus Duesmann will take up the post on April 1. Under his guidance, Audi will become the focus for Volkswagen's research-and-development strategy, Volkswagen said.

Audi will continue to be an independent stock corporation following the squeeze-out, the company said. Audi's AGM, which was originally planned for May 14, will now be postponed until July or August this year.

Write to Jessica Sier at [e-mail]

(END) Dow Jones Newswires

March 02, 2020 01:58 ET (06:58 GMT)

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