Photo: dpa
Volkswagen AG, Europe’s largest automaker, intends to sell its 15% stake in truck manufacturer Traton in the first half of 2025. The deal is expected to bring the company approximately two billion euros, according to Manager Magazine, Reuters reports.
Decrease in shareholding in Traton
After Traton’s initial public offering (IPO) in 2019, Volkswagen owns 89.72% of the company, while the free float is only 10.28%. The current plan is to reduce the shareholding to 75% + 1 share to attract more investors and increase share liquidity.
According to Volkswagen’s CFO Arno Antlitz, the low level of free float is a significant obstacle for investors.
Cost reduction and optimisation
In addition to the plans for Traton, Volkswagen has entered into a historic cost-cutting agreement with the trade unions, which provides for:
- Reducing the number of employees at German plants by 35,000 by 2030.
- Reduced production capacity by 734,000 units.
- The total cost savings will be around €15 billion a year, including €1.5 billion in labour costs.
A strategic step in a new reality
The sale of the Traton stake is part of Volkswagen’s broader strategy to optimise its assets and focus resources on the transition to electric mobility and the digitalisation of the automotive industry.
Although the company has not officially confirmed the details of the deal, experts expect this initiative to have a positive impact on the group’s financial performance and strategic stability.
