Allegedly VW plans for Bugatti sales

According to media reports, Volkswagen wants to sell the luxury brand Bugatti to the Croatian sports car specialist Rimac. The companies are cautious about this.

A Bugatti logo, taken on the second press day of the Paris International Motor Show.

FAccording to a report, there are plans to sell the luxury sports car brand Bugatti in the Volkswagen Group. However, the French company did not confirm the presentation of a corresponding report in the British “Car Magazine” on Thursday. “We do not comment on speculation about the future of the brand,” said the company headquarters in Molsheim near Strasbourg. Something similar could be heard from VW headquarters. There had also been rumors about a possible sale of other luxury subsidiaries such as Bentley and Lamborghini or the motorcycle manufacturer Ducati. Now the Croatian company Rimac is said to be interested in Bugatti. First, the “Manager Magazin” reported on a possible sale of the luxury brand.

Bugatti explained that it was concentrating on day-to-day business – and from the current perspective there was no reason why the brand with its very expensive sports cars with up to 1500 hp should change hands. Most recently, positive earnings contributions were made in the group, and 82 models were sold in 2019. The company does not provide any further details about its financial data. Bugatti is also coming through the crisis comparatively well in the current year. The corona pandemic did not affect the luxury goods business as much as it did mass consumption, although there was also a decline in demand here.

Despite intermittent production downtimes, an improved result at Bugatti is foreseeable again in 2020, it said. However, there have been considerations for a further streamlining of the VW Group for a long time. CEO Herbert Diess said in 2018 that outsourcing is “conceivable” – but also expansions. VW is currently considering returning to car rental, possibly with Europcar or Sixt. There has not yet been any confirmation for this either.

Popular with the “super rich”

As part of a structural reform, the luxury brands Bugatti, Bentley and Porsche were incorporated into the “Super Premium” subgroup in the world’s largest car company. The “Premium” group consists of Audi and the Italian manufacturers Lamborghini and Ducati, which are owned by the Ingolstadt subsidiary. The most important group “Volume” comprises the core brands VW, Skoda, Seat and the light VW commercial vehicles. The truck and bus manufacturers MAN and Scania are organized in the Traton holding company. The Volkswagen Group is selling its business with special transmissions.

The former company patriarch Ferdinand Piech revived Bugatti in 1998. In 2019, the sports car brand celebrated its 110th birthday with the “Chiron Sport” special edition. The brand, whose handcrafted sports cars cost from one million euros upwards, is popular with Arab sheikhs and other super-rich. Bugatti sold 82 luxury cars in 2019. So far there have been around 700 cars in total.