Porsche Raises Stake in EV Company Rimac Automobili

By McKenzie Carpenter Monday, March 8, 2021

The EV industry continues to make headlines as more auto companies announce new EV developments and investments. Porsche, the luxury car company under the Volkswagen name, announced today the car business would be increasing its stake in EV company Rimac Automobili.

Porsche headquarters in Germany.

About Rimac Automobili and Equity Deal

Rimac Automobili is an EV business that specializes in using EV technology and applying it to hypercars. The business was founded in 2009 with the vision of creating high-performance cars in the electric era. The company has produced the C_Two, a purely electric hypercar. To date, the hypercar business has raised $125.9 million in funding over a few rounds, with the most recent investment from Hyundai and Kia for $90 million.

Volkswagen’s luxury car business, Porsche, is also an investor in Rimac Automobili. Porsche first announced its 10% stake in the EV hypercar business in 2018. At the time, Deputy Chairman of the Executive Board and Member of the Executive Board for Finance and IT at the luxury car business, Lutz Meschke, said, “We feel that Rimac’s ideas and approaches are extremely promising, which is why we hope to enter into close collaboration with the company in the form of a development partnership.”

A year later, the luxury car business increased its stake to 15% in 2019. Now in 2021, Porsche announced today that it would once again increase its stake in Rimac Automobili to 24%. This additional percentage will cost Porsche $84 million, giving the EV hypercar business a valuation of $947 million.

Meschke said, “Our investments in the company Rimac has proved to be absolutely right... The company has developed very well technologically. We expand our cooperation step by step.”

Mate Rimac, founder and CEO of the EV hypercar company, added, “Porsche has been a big supporter of our company since 2018, and it has always been a privilege to have one of the world’s most iconic sports car brands be a part of Rimac.”

Other EV News

The news of Porsche increasing its equity stake in Rimac Automobili comes less than a week after Startup Savant reported the luxury car business would be releasing its own fully electric sports car and two electric-assisted eBikes.

It was also reported last week that General Motors is allegedly opening a second EV battery production plant in Tennessee to support the company’s new commitment to develop 30 new electric vehicles by 2030. Additionally, FedEx claimed it would be shifting its focus to become more carbon-neutral, with vehicle electrification as one key area of that goal.

About the Author

Headshot of McKenzie Carpenter

McKenzie Carpenter is a graduate of Central Michigan University with a B.A.A. in Integrative Public Relations and French. McKenzie has previously worked for small businesses and nonprofit organizations.

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