Tags: Porsche | VW | hedge funds | lawsuit

Porsche Wins Dismissal of Hedge Funds' Suit Over Failed VW Bid

Monday, 17 Mar 2014 08:33 AM

Porsche Automobil Holding SE won the dismissal of a lawsuit seeking 1.4 billion euros ($1.95 billion) over the German carmaker’s aborted takeover of Volkswagen AG.

The lawsuit, filed by 23 hedge funds including Viking Global Equities LP, Glenhill Capital LP and David Einhorn’s Greenlight Capital Inc., was thrown out by judges in Stuttgart today. The court is the second to rule in Porsche’s favor over the issue, in which different groups of investors are seeking a total of 5 billion euros in courts around the country.

The cases, which stem from Porsche’s bid for VW, ultimately scuttled a merger between the two companies. VW Chairman Ferdinand Piech and Porsche Chairman Wolfgang Porsche have also been sued over the deal in Frankfurt.

Porsche has faced a series of investigations and lawsuits since disclosing in October 2008 that it controlled 74.1 percent of Volkswagen AG, partly through options, and was seeking to acquire 75 percent as part of a takeover strategy. The announcement caused Volkswagen’s stock to jump as short sellers raced to buy shares to repay borrowed stock in bets that VW would fall.

© Copyright 2017 Bloomberg News. All rights reserved.

 
1Like our page
2Share
InvestingAnalysis
Porsche Automobil Holding SE won the dismissal of a lawsuit seeking 1.4 billion euros ($1.95 billion) over the German carmaker's aborted takeover of Volkswagen AG.
Porsche,VW,hedge funds,lawsuit
183
2014-33-17
Monday, 17 Mar 2014 08:33 AM
Newsmax Inc.
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved