Georg Kell, head of Volkswagen’s independent sustainability board, defended Blume’s decision to become CEO of Volkswagen and Porsche.
“Keeping Blume in a dual role is a win-win. Blume will bring a good Porsche cultural experience to the Volkswagen Group as a whole,” he said.
Estimates of Porsche’s valuation vary widely. Analysts at HSBC this week estimated the price at €44.5 billion to €56.9 billion, but a source close to the listing said it was more likely to be €70 billion to €80 billion.
Among Porsche’s listed rivals, Ferrari has a market capitalization of €36 billion, while Mercedes-Benz is worth just under €62 billion.
“As a result of the capital structure and management, there is the potential for conflicts of interest in management,” said Richard Hilgert, senior equity analyst at Morningstar.
“Some investors may be constrained by the ESG recommendations of owning a Porsche,” he added, although he said the offering could be attractive to investors less focused on such issues.
Few independent directors
Chi Chan, portfolio manager of European equities at Federated Hermes, highlighted the dual role of CEO Blume in written comments to Reuters, echoing the concerns of investors Volkswagen Union Investment and DWS.