Wolfsburg/New Delhi: German car maker Volkswagen acquired the automobile trading business of Porsche Holding Salzburg (PHS) for 3.3 billion euro.

"Volkswagen (VW) has acquired the operating business of PHS in accordance with previous announcements. The transfer of the automobile trading company takes place at a value of 3.3 billion euro on March 1, 2011. The registered office and corporate headquarters will remain in Salzburg," the German firm said in a statement.

Following the purchase, VW is on the course of completion of the next planned step towards the creation of integrated automotive group of Volkswagen and Porsche as part of a global agreement between the two companies, it added.

"The business performance of Porsche Holding Salzburg (PHS) is outstanding. It is one of the world's most efficient and profitable automobile trading companies and will therefore
strengthen the Volkswagen Group's sales activities," Volkswagen Chief Executive Officer Martin Winterkorn said.

Besides, Volkswagen (VW) is acquiring all the automobile operations of PHS such as the wholesale and retail business, Porsche Informatik, Porsche Bank, Porsche Immobilien and
Porsche Versicherung as well as the PGA Motors headquartered in Paris, the company said.

Volkswagen Board Member (Sales) Christian Klingler said: "Under the Volkswagen Group umbrella, PHS will retain its status as an independent organisational unit and continue with its business model unchanged."

All assets will remain intact and this will be applicable to the automobile trading business relating to all non-Group brands, he added.



(Agency)