The Volkswagen Group’s Porsche and Croatian hyper-EV developer Rimac have agreed to set up a joint venture that incorporates Bugatti—another Volkswagen Group brand that is moving to the control of Porsche. Oliver Blume, CEO of Porsche, and Mate Rimac, CEO of Rimac, signed the corresponding agreements and announced the name of the new hypercar manufacturer: Bugatti-Rimac.
The joint venture will have its headquarters in Zagreb (Croatia) and is scheduled to be established in the fourth quarter of 2021. This is subject to the prior approval of antitrust authorities in several countries. Rimac will hold a 55% share in the Bugatti-Rimac joint venture, while Porsche will have a 45% share. Porsche also holds a 24% share in Rimac directly.
Bugatti will be brought into the joint venture by current owner Volkswagen. The shares will then be transferred to Porsche.
Bugatti Chiron, Rimac Nivera
We are combining Bugatti's strong expertise in the hypercar business with Rimac’s tremendous innovative strength in the highly promising field of electric mobility. Bugatti is contributing a tradition-rich brand, iconic products, a loyal customer base and a global dealer organisation to the joint venture. In addition to technology, Rimac is providing new development and organisational approaches.—Oliver Blum
Under the umbrella of the new company, the Bugatti and Rimac brands will initially produce two hypercar models: the Bugatti Chiron and the all-electric Rimac Nevera. Bugatti Automobiles S.A.S. will continue to exist in the new joint venture.
In the future also, all Bugatti models will still be produced at the Bugatti factory in Molsheim, France. Jointly developed Bugatti models are planned for the longer term.
This really is an exciting moment. Rimac Automobili has grown very quickly and the joint venture takes the company to a completely new level. Bugatti and Rimac are a perfect match for each other and both contribute important assets: we have established ourselves as an industry pioneer for electric technologies, while Bugatti has more than a century of experience in development of top-class cars and therefore brings with it an outstanding tradition that is practically unique in the history of the automotive industry. Together we will pool our knowledge, our technologies and our assets with the goal of creating very special projects in the future.—Mate Rimac, founder and CEO of Rimac
Porsche already entered into a successful partnership with Rimac three years ago.
This joint venture is the provisional culmination of a strategic chain of investments. We already purchased the first shares in Rimac in 2018 and have successively increased our shareholding since then. We established a close relationship with Mate and his extremely innovative team very early on. We are now benefiting from that. Thanks to its know-how, Rimac will now help us to successfully lead an emotive and important brand into the future. I am very proud and delighted that we have brought this joint venture to fruition in spite of many challenges. Today is a good day for Bugatti and Rimac, Porsche and also for the Volkswagen Group.—Lutz Meschke, Member of the Executive Board for Finance
Porsche will play a strong role in the joint venture as a strategic partner. Oliver Blume and Lutz Meschke (Deputy Chairman and Member of the Executive Board for Finance and IT at Porsche AG) will become members of the Supervisory Board at Bugatti-Rimac. Mate Rimac will be CEO of the joint venture. When it is founded, the joint venture will have approximately 430 employees—around 300 at the company headquarters in Zagreb and 130 at the Bugatti site in Molsheim.