VARTA AG Partners with Porsche for Lithium-Ion Cell Development

VARTA AG, based in Ellwangen, has entered into an agreement with Porsche for a significant investment in its large-format lithium-ion cell business. The arrangement involves Porsche acquiring a majority stake in VARTA's subsidiary, V4Drive Battery GmbH. This strategic move includes a capital increase at V4Drive, with VARTA contributing its business unit and property, while Porsche provides equipment, patents, and receivables.

Porsche is already a customer of this business unit, and the partnership aims to bolster long-term growth and development. However, the transaction is pending merger control clearance and the approval of VARTA's restructuring plan under Germany's StaRUG proceedings.

The closing of this deal is anticipated in early 2025. VARTA is concurrently advancing its restructuring process, having signed key agreements with financiers, securing the necessary support for the restructuring plan discussion in Stuttgart's Restructuring Court by October 2024.