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    • Porsche in more legal trouble - Facing additional $1.8 billion law suit from hedge funds

      The Porsche failed takeover bid of Volkswagen continues to have more negative ramifications. Porsche already was facing lawsuits of over $3 billion but now that number is rising to over $5 billion as an additional 25 hedge funds in Germany have brought suits against Porsche. As word of this got out, Porsche stock fell 3.7% and is likely to tumble more. Suits were originally brought against Porsche in the USA but the hedge funds agreed to pursue this in Germany instead.

      Porsche has no comment as they have not received the suit yet. Basically, the suit claims that Porsche misled investors about its takeover plans of VW which failed costing those investors a lot of money.

      What will happen? We will have to wait and see.


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      This article was originally published in forum thread: Porsche in more legal trouble - Facing additional $1.8 billion law suit from hedge funds started by Sticky View original post
      Comments 4 Comments
      1. LostMarine's Avatar
        LostMarine -
        ridiculous. if you invest, you take a risk
      1. Sticky's Avatar
        Sticky -
        Click here to enlarge Originally Posted by LostMarine Click here to enlarge
        ridiculous. if you invest, you take a risk
        Not really ridiculous. A company can't just say it is accepting investors and then say, um, we're folding up, and run away with the money.
      1. StinkyM's Avatar
        StinkyM -
        I am pretty sure when VW bought out Porsche, they also paid off all of Porsche's debt which should have included the investors who lost quite a bit of money. I remember when Porsche finally decided to join the VAG that they would do so debt free.
      1. Sticky's Avatar
        Sticky -
        Click here to enlarge Originally Posted by StinkyM Click here to enlarge
        I am pretty sure when VW bought out Porsche, they also paid off all of Porsche's debt which should have included the investors who lost quite a bit of money. I remember when Porsche finally decided to join the VAG that they would do so debt free.
        VW didn't pay it off they just were aware of the suits coming that would just end up increasing the cost to acquire Porsche for them. This is far from over and a new lawsuit on top of the existing suits.