Porsche IPO: Proceeds from shares are intended to secure the technological future

Created: 09/27/2022, 15:30

By: Sebastian Oppenheimer

Following in the footsteps of the 911, Porsche shares are said to reach unimagined heights.

Will the IPO be a mass movement similar to that of Telekom in 1996?

Telekom's IPO more than 25 years ago not only completed the privatization of the former state-owned company Deutsche Post, but also turned many into stock fans overnight.

The IPO of Porsche triggers a similar boom.

It starts this Thursday.

But this time there is no need for an actor like Manfred Krug, who at the time advertised Telekom's Volksaktie with a beaming smile, even addressing those Germans who had never been interested in the stock market before.

Even if there are no big TV commercials about the Porsche IPO (= Initial Public Offering) this time, the IPO of the Stuttgart-based company has long been on everyone's lips, not only among economic and financial experts.

Who doesn't dream of owning a Porsche?

And if for cost reasons it's a 911,

Cayman or Taycan, then by buying shares you are at least a very small part of one of the most sought-after companies in Europe.

It's no surprise that the stock is already oversubscribed many times before the official launch.

Porsche IPO: Proceeds from shares are intended to secure the technological future

Porsche was able to save itself a wave of marketing on TV, print or online, because word had been spreading like wildfire for months that the most valuable of all Volkswagen Group brands was going to go public this fall.

The car manufacturer from Stuttgart-Zuffenhausen enjoys the enormous advantage that Telekom, as a privatized state company, hardly had: desirability.

Things are very different at Porsche, because the carmaker is not only the best-known sports car manufacturer in the world alongside its competitor Ferrari, but also a carmaker that is making the leap into the electric age more consistently and therefore more promisingly than many others.

And then there is the glamorous history and a brand name like Donnerhall.

With its hundreds of glamorous victories in the world's biggest car races, Porsche is not just a legend among motorsport fans.

Formula 1, Le Mans or Daytona say hello.

The Stuttgart carmaker Porsche dares to go public.

(Iconic image) © Silas Stein/dpa

Porsche IPO: order books already oversubscribed many times over

Nobody currently knows how Porsche shares will develop after they are issued on Thursday.

Shortly after the start of advance sales a week ago, the order books were often oversubscribed.

Until then, you can draw in advance.

The issue price of the security is between EUR 76.50 and EUR 82.50.

Since Telekom shares were issued, there has not been a major IPO in Germany - and certainly not one that has been so widely publicized.

The tens of billions of dollars in money raised through the IPO should ensure that Porsche can prepare better than others for the major technological challenges of the future.

More than ever in the coming years, topics such as electromobility, autonomous driving,

Ten cars with internal combustion engines that we will miss

View photo gallery

Sports cars themselves are important for the image, but most of the vehicles in the current model portfolio have long been crossovers or sedans.

With the exception of the Porsche 911, all models will be electrified in the coming years, and only the bolide with the charismatic boxer engine in the rear will initially remain with its combustion engine technology.

All other new models are purely electric.

For those customers who still find it difficult to switch, the Porsche Macan with a petrol engine has been extended again until 2024/2025.