As the value of Porsche’s freshly listed shares increased, its valuation surpassed that of its old parent company, Volkswagen Group.
On Thursday, Porsche surpassed its erstwhile parent Volkswagen Group to become the most valuable carmaker in Europe as the value of the sports car manufacturer’s freshly listed shares increased.
Despite falling below its listing price to 81 euros on Monday, along with broader market declines, Porsche shares climbed to 93 euros ($91.95) early on Thursday, giving the sportscar manufacturer a market capitalization of 85 billion euros.
By 13:08 GMT, the shares had slipped to 91.04 euros, but the firm was still valued at just under 84 billion euros, which was much more than VW Group.
Mercedes-Benz is valued at 57.2 billion euros, placing third among European automakers after BMW (47.5 billion), Stellantis (39.5 billion), and VW Group (77.7 billion).
Following the acquisition of about 3.8 million shares by investment banks participating in the flotation for 312.8 million euros as part of the so-called “greenshoe option,” which was created to promote a listing, Porsche’s share price recovered.
Porsche is the 25th most valuable stock in Europe, ahead of behemoths like Glencore, and the fifth most valuable listed company in Germany, after Linde, SAP, Deutsche Telekom, and Siemens.