Volkswagen begins selling brands: the electric car company it formed a joint venture with now takes control of Bugatti

14/09/2026 15:30

Updated to

14/09/2026 17:54

Volkswagen has now fully completed the divestment of one of the most iconic brands in the hypercar segment: Bugatti. After being part of the German group for nearly three decades, the Molsheim-based brand is now separate from its former parent company and has become part of an investment consortium led by HOF Capital and the electric hypercar manufacturer Rimac, which retains a majority stake in the group.

This transaction marks a milestone in the automotive industry, concluding an era that began in 1998 when the German group acquired the rights to this legendary brand to turn it into the pinnacle of high-performance engineering.

The end of an era for the German giant

Volkswagen’s exit has been carried out through Porsche, the brand responsible for managing the group’s stake in the French company. In 2021, the corporation took an intermediate step by creating the joint venture Bugatti Rimac, in which the Croatian company specializing in electric propulsion technology held 55% of the shares, while Porsche retained the remaining 45%.

By selling its entire stake in both Bugatti Rimac and the Rimac Group itself for approximately $1.2 billion, the German consortium is completely exiting its involvement in the hypercar company. This decision stems from the need to optimize assets, generate immediate liquidity, and focus the group’s financial resources on developing high-volume platforms for mass-market electric vehicles and next-generation software.

Rimac’s Focus on High-Performance Electrification

The power transfer strengthens Mate Rimac’s leadership as the founder of the Croatian company, who has long sought to take control of Porsche’s stake to assume full ownership of the brand, and who now assumes the role of President of Bugatti Automobiles. Under this new structure, Rimac Group retains a 55% majority stake, while the remaining percentage is distributed among new investor partners.

This operation not only represents a capital restructuring but also sets the direction for the French brand over the coming decades. The use of high-voltage architecture and battery technology developed by Rimac in its own models will pave the way for future Bugatti developments to adopt highly efficient electric powertrains, ensuring the brand’s viability amid increasingly strict global environmental regulations.

Volkswagen’s new roadmap

Volkswagen Group’s strategic move highlights the complex transition that traditional automakers are facing. The massive investment required to adapt production lines, meet emission standards, and compete with electric vehicles necessitates focusing efforts on segments with the highest sales volumes.

The sale of Bugatti is further evidence of how partnerships between established brands and electrification specialists are reshaping the global automotive landscape. Volkswagen is moving beyond the era of large internal combustion engines toward a phase centered on energy efficiency and large-scale sustainable mobility.