Officials announced Monday that Porsche and Croatian electric performance car manufacturer Rimac have agreed to form a joint venture that will include Volkswagen’s high-performance Bugatti brand.
The new Bugatti-Rimac joint venture is expected to be established as a hypercar manufacturer (think high-end sport car or supercar but with better performance and exclusivity) in the fourth quarter of this year.
Rimac will own a 55 percent stake in the joint venture, while Porsche will own a 45 percent stake. According to the companies, Bugatti’s shares will be transferred from Volkswagen, which owns both Porsche and Bugatti, to Porsche, and then to Rimac. In addition, Porsche now owns a 24 percent stake in Rimac, up from a 10 percent stake in 2018.
The first vehicles planned from the collaboration are an eight-cylinder, 1,500-horsepower Bugatti called the Chiron and a $2.4 million all-electric hypercar called the Rimac Nevera, which has about 1,900 horsepower and can exceed 250 mph, according to the company. The companies had previously announced the vehicles separately.
In a statement, Porsche CEO Oliver Blume said, “We are combining Bugatti’s strong expertise in the hypercar business with Rimac’s tremendous innovative strength in the highly promising field of electric mobility.”
Blume described the new joint venture as a “perfect combination” during a media call on Monday.
Blume and Porsche CFO Lutz Meschke will join the Bugatti-Rimac board of directors. According to the companies, Rimac founder Mate Rimac will lead the joint venture as CEO.
Mate Rimac, who founded the company in his garage in 2009, said in a statement that the joint venture is a “exciting moment” and that the companies are “a perfect match for each other.”
“I believe we can accomplish incredible things,” he told reporters on Monday. “It’s a fantastic opportunity.”
The financial terms of the new joint venture were not disclosed by the companies.
Bugatti-Rimac is expected to employ approximately 430 people. This includes 300 at the Rimac headquarters in Croatia and 130 at the Bugatti factory in Molsheim, France. According to the companies, all Bugatti models will continue to be manufactured at the renowned facility.