Porsche invests $83.3 million in Rimac to increase its stake to 24%

Pankaj Singh Date: 2021-03-09 Technology

Porsche, an automobile manufacturer, has recently made an investment of $83.3 million (€70 million) in Rimac Automobili, a Croatian car manufacturer.

The move was geared towards increasing the stake of Porsche from 15% to 24% in Rimac. It will mark its 3^rd investment in the car company. In September 2019, the automobile company announced its 1^st investment in Rimac. Other than Porsche, other automobile manufacturers such as Kia Motors and Hyundai Motor Company also have jointly invested $90 million (€80 million) in the Croatian car manufacturer.

Founded in 2009 by Mate Rimac, Rimac is known for developing electric hypercars as well as battery and powertrain. Its top-selling hypercars include the two-seater C Two, which debuted at the Geneva International Motor Show in 2018. This vehicle can produce 1,914 horsepower, has a speed of 256 miles per hour, and accelerate from 0 mph to 60 mph in 1.85 seconds. In addition, the company is planning to launch C Two in its final form by 2021.

Apart from hypercars, Rimac’s 1,000+ employee base focuses on battery technology in the high-voltage segment, as well as manufactures and engineers electric powertrains and digital interfaces between machines and humans.

According to the statement made by Lutz Meschke, Porsche AG’s deputy chairman of the executive board, the company is attracted towards Rimac for maintaining a robust track record of component developments. It also appreciates the car manufacturer for delivering excellent prototype solutions & small series.

He further added that Rimac is expected to soon become a Tier-1 supplier for manufacturers in the high-tech segment, including Porsche. For the record, the German manufacturer has already placed its 1^st orders with Rimac to develop highly innovative series components.

Despite Porsche’s continued investments, it still does not have a controlling stake in the Croatian car company.

Source credit:

https://techcrunch.com/2021/03/08/porsche-raises-stake-in-electric-car-and-components-maker-rimac-automobili/