Don’t call it Bugatti anymore, but Bugatti-Rimac. The famous French manufacturer of hypercars from the Volkswagen group, at the Alsatian headquarters, has just taken on Croatian genes today upon the announcement of its merger with Rimac. The two brands will merge to create a joint venture in the fourth quarter, responding to the new strategy for the most upscale models of the group.
It was through Porsche that the negotiations took place, he who owned Bugatti. The manufacturer thus sold part of its shares to hold, after agreement, 45% of Bugatti. Rimac now obtains the majority, at 55%. A press release published on the occasion of the news, this Monday, July 5, tried to reassure customers. Bugatti will remain Alsatian and continue to produce the Chiron. But until when ?
A difficult game of buyout and merger has just resulted in the new joint venture presented today. Since March, rumors have flooded the web about the future of Bugatti. It would seem, in hindsight, that Volkswagen was looking to do something Bugatti, which is costing it dearly and which will have to start its shift towards electric. Rimac, for its part, is already well advanced. An outright takeover of this Croatian manufacturer to add its technologies to Bugatti and silence its name seemed difficult, which is why the affair led to the creation of “Bugatti-Rimac”.
Four months ago, Porsche started the maneuvers by climbing a little more in the capital of Rimac, to the tune of 24%, against 15.5% since September 2019. Since then, a new financing operation at Rimac has propelled Porsche to 45%. Soon, the German manufacturer could take control of this Croatian brand, but nothing is less certain. “We bought the first Rimac shares in 2018 and have successively increased our stake since then. We established a close relationship very early on with Mate Rimac and his extremely innovative team ”, declared Lutz Meschke, member of the financial management board.
“Under the aegis of the new company, the Bugatti and Rimac brands will initially produce two hypercar models: the Bugatti Chiron and the all-electric Rimac Nevera”, explains Porsche in its press release. “ Bugatti Automobiles SAS will continue to exist in the new joint venture. Also in the future, all Bugatti models will still be produced in the Bugatti factory in Molsheim, France ”, he added.
That said, future Bugatti models could this time bear the name of the joint venture, while Porsche clarified: “Jointly developed Bugatti models are planned for the longer term”. With a symbolic message, the direction of the new entity: the position of CEO will be occupied by Mate Rimac, the current founder and CEO of the Croatian manufacturer.