Volkswagen prepares battery division for capital markets

© Reuters. FILE PHOTO: Volkswagen Group CEO Herbert Diess arrives on the red carpet for the ‘Das Goldene Lenkrad’ (The Golden Steering Wheel) car awards presented by a German newspaper in Berlin, Germany November 12, 2019. REUTERS/Hannibal Hanschke / File Photo

FRANKFURT (Reuters) – Volkswagen (DE:) is preparing its battery unit for partial sale or listing and has agreed to turn it into a so-called European Company, or Societas Europaea, to provide the terms for such a move, CEO Herbert says Diess.

Diess, speaking after the automaker provided details of its new five-year investment plan, said the move was aimed at preparing the division for capital market activity, including bringing in partners external.

The CEO, who previously said the unit could go public independently, said Volkswagen’s battery division is expected to generate sales of 20 billion euros ($23 billion) by the end of the decade.

Volkswagen’s battery efforts, led by board member Thomas Schmall, include building six major cell factories with partners across Europe by 2030.

($1 = 0.8843 euros)

Warning: Merged media would like to remind you that the data contained in this site is not necessarily in real time or exact. All prices for CFDs (stocks, indices, futures) and Forex are not provided by exchanges but rather by market makers, and therefore prices may not be accurate and may differ from the actual market price, which which means that the prices are indicative and not suitable for commercial purposes. Therefore, Fusion Media assumes no responsibility for any business losses you may incur due to the use of this data.

Merged media or anyone involved with Fusion Media will accept no liability for any loss or damage resulting from reliance on the information, including data, quotes, charts and buy/sell signals contained in this website . Please be fully informed of the risks and costs associated with trading in the financial markets, it is one of the riskiest forms of investment possible.