Bugatti News and Rumors

[Jonathan19]

Porsche sells its stakes in Bugatti Rimac to HOF Capital Consortium in partnership with Rimac Group

Porsche has agreed to sell its equity stakes in Bugatti Rimac and Rimac Group to a consortium led by HOF Capital, a New York-based investment firm. The relevant transaction agreements were signed on April 24. Completion of the transaction remains subject to customary conditions precedent, including regulatory clearances by the relevant authorities.

Porsche and Rimac Group established Bugatti Rimac as a joint venture in 2021 to serve as home to the iconic Bugatti brand. In this joint venture, Porsche holds a minority stake of 45%, Rimac Group owns 55%. Porsche also holds a 20.6% stake in Rimac Group. As part of the transaction announced today, Porsche will fully divest its equity stakes in Bugatti Rimac and Rimac Group to the HOF Capital-led consortium. This includes BlueFive Capital as its largest investor, as well as a group of institutional investors across the US and EU. Following completion, Rimac Group is set to take control of Bugatti Rimac and form a strategic partnership with HOF Capital and BlueFive Capital to support its continued growth. HOF Capital will additionally join Rimac Group as the largest shareholder alongside Mate Rimac, founder of Rimac and CEO of Bugatti Rimac. Subject to regulatory clearances, completion is expected to occur before the end of 2026. The parties have agreed to keep the financial terms of the transaction confidential, except where disclosure is required under applicable financial reporting obligations.

Dr Michael Leiters, CEO of Porsche AG: “In setting up the joint venture Bugatti Rimac together with Rimac Group, we successfully laid the foundation for Bugatti’s future. And as an early-stage investor of Rimac Group, Porsche made a significant contribution to developing Rimac Technology into an established Tier-1 automotive technology company. Now, with the sale of our stake, we demonstrate that we will focus Porsche on the core business. We would like to thank Mate Rimac and his team for the constructive and trusting cooperation over the past years.”

“Porsche has been a crucial partner, and we are deeply grateful for their role in establishing Bugatti Rimac. With the strong foundations their support has provided, we now have a structure that allows us to execute even faster on our long-term vision. We look forward to our collaboration with our new partners.”

Mate Rimac
CEO of Bugatti Rimac

Hisham Elhaddad, Co-Founder and Managing Partner of HOF Capital: “For over a century, Bugatti has stood apart as a brand where heritage and innovation coexist at the highest level. We are proud to partner with Mate Rimac and his team to help shape the next chapter, balancing disciplined growth with a tradition of craftsmanship and originality that remains unmatched.”

Hazem Ben-Gacem, Founder and Chief Executive of BlueFive Capital: “Bugatti is a monument to automotive obsession, born from Ettore Bugatti’s pursuit of beauty and performance combined. BlueFive Capital approaches this opportunity as more than simply a financial transaction, and we look forward to working alongside the entire Bugatti Rimac team to honor that legacy for generations to come.”

Porsche sells its stakes in Bugatti Rimac to HOF Capital Consortium in partnership with Rimac Group – Bugatti Newsroom

Porsche has agreed to sell its equity stakes in Bugatti Rimac and Rimac Group to a consortium led by HOF Capital, a New York-based investment firm.

newsroom.bugatti.com

 

[Mistral]

I don't know whether this is a good thing or a bad one. I can only hope Bugatti has a promising future.

 

[Rolf]

I am saddened to see this to be honest as VW/Porsche built up Bugatti to where it is in the last 25 years and now its been taken over by a start up electric supercar manufacturer and an investment firm which we dont know will be able to sustain the development and production of Bugatti in a way that will match VW/Porsche.

 

[slicknick]

Porsche sells its stakes in Bugatti Rimac to HOF Capital Consortium in partnership with Rimac Group

Porsche has agreed to sell its equity stakes in Bugatti Rimac and Rimac Group to a consortium led by HOF Capital, a New York-based investment firm. The relevant transaction agreements were signed on April 24. Completion of the transaction remains subject to customary conditions precedent, including regulatory clearances by the relevant authorities.

Porsche and Rimac Group established Bugatti Rimac as a joint venture in 2021 to serve as home to the iconic Bugatti brand. In this joint venture, Porsche holds a minority stake of 45%, Rimac Group owns 55%. Porsche also holds a 20.6% stake in Rimac Group. As part of the transaction announced today, Porsche will fully divest its equity stakes in Bugatti Rimac and Rimac Group to the HOF Capital-led consortium. This includes BlueFive Capital as its largest investor, as well as a group of institutional investors across the US and EU. Following completion, Rimac Group is set to take control of Bugatti Rimac and form a strategic partnership with HOF Capital and BlueFive Capital to support its continued growth. HOF Capital will additionally join Rimac Group as the largest shareholder alongside Mate Rimac, founder of Rimac and CEO of Bugatti Rimac. Subject to regulatory clearances, completion is expected to occur before the end of 2026. The parties have agreed to keep the financial terms of the transaction confidential, except where disclosure is required under applicable financial reporting obligations.

Dr Michael Leiters, CEO of Porsche AG: “In setting up the joint venture Bugatti Rimac together with Rimac Group, we successfully laid the foundation for Bugatti’s future. And as an early-stage investor of Rimac Group, Porsche made a significant contribution to developing Rimac Technology into an established Tier-1 automotive technology company. Now, with the sale of our stake, we demonstrate that we will focus Porsche on the core business. We would like to thank Mate Rimac and his team for the constructive and trusting cooperation over the past years.”


Mate Rimac
CEO of Bugatti Rimac

Hisham Elhaddad, Co-Founder and Managing Partner of HOF Capital: “For over a century, Bugatti has stood apart as a brand where heritage and innovation coexist at the highest level. We are proud to partner with Mate Rimac and his team to help shape the next chapter, balancing disciplined growth with a tradition of craftsmanship and originality that remains unmatched.”

Hazem Ben-Gacem, Founder and Chief Executive of BlueFive Capital: “Bugatti is a monument to automotive obsession, born from Ettore Bugatti’s pursuit of beauty and performance combined. BlueFive Capital approaches this opportunity as more than simply a financial transaction, and we look forward to working alongside the entire Bugatti Rimac team to honor that legacy for generations to come.”

Porsche sells its stakes in Bugatti Rimac to HOF Capital Consortium in partnership with Rimac Group – Bugatti Newsroom

Porsche has agreed to sell its equity stakes in Bugatti Rimac and Rimac Group to a consortium led by HOF Capital, a New York-based investment firm.

newsroom.bugatti.com

Really don't know what to make of this. I mean, the Tourbillon project is pretty much concluded, but this bears interesting (not sure good or bad yet) things for the models to follow thereafter

 

[Jonathan19]

I don't know whether this is a good thing or a bad one. I can only hope Bugatti has a promising future.

I am saddened to see this to be honest as VW/Porsche built up Bugatti to where it is in the last 25 years and now its been taken over by a start up electric supercar manufacturer and an investment firm which we dont know will be able to sustain the development and production of Bugatti in a way that will match VW/Porsche.

Really don't know what to make of this. I mean, the Tourbillon project is pretty much concluded, but this bears interesting (not sure good or bad yet) things for the models to follow thereafter

I think it’s for the best, we’ll see.

 

[klier]

I don't know whether this is a good thing or a bad one.

Very with capitals bad
Horrible is how I would describe it. Ferdinand Piech is truly turning himself around in his grave.

I am saddened to see this to be honest as VW/Porsche built up Bugatti to where it is in the last 25 years and now its been taken over by a start up electric supercar manufacturer and an investment firm which we dont know will be able to sustain the development and production of Bugatti in a way that will match VW/Porsche.

This sooooooooo much.

Absolutely mindbogglingly weird how all of this this came to be. Bugatti was Piech's crown achievement. The jewel of VAG as a consortium combined into one defining product. Completely squandered and gone. Just like that.

 

[slicknick]

Very with capitals bad
Horrible is how I would describe it. Ferdinand Piech is truly turning himself around in his grave.



This sooooooooo much.

Absolutely mindbogglingly weird how all of this this came to be. Bugatti was Piech's crown achievement. The jewel of VAG as a consortium combined into one defining product. Completely squandered and gone. Just like that.

Well, I wouldn't jump to conclusions just yet. Working at the automotive industry & having read a bit deeper into it, here is my honest take:

Upside #1:
Before: split ownership (Rimac 55% / Porsche 45%)
After: Rimac + investors, but Mate Rimac is now clearly in charge

This matters because, there are no more joint-venture politics, faster decision-making, and finally one clear vision for the brand. This is something Mate Rimac has wanted for a while.



Upside #2:
Porsche isn’t dumping Bugatti because Bugatti is failing. They’re dealing with profit collapse and restructuring, while also refocusing on their core business (911s, SUVs, hybrids, etc.). In other words, this is Porsche needing cash and focus, not a red flag about Bugatti.


Upside #3
The new investors bring reasonably deep pockets + willingness to fund long-term projects, while Porsche & VAG in general clearly no longer had the appetite; and they explicitly want to support Bugatti’s next phase of growth. This is important for ultra-expensive R&D and helping the prospects of keeping Bugatti at the absolute top end

Upside #4
Under Porsche/VW, Bugatti was always prestigious, but somewhat constrained within a giant group. Now it’s basically a boutique hypercar brand with independent backing. That’s aligned with what Bugatti should be


Downside #1:
Porsche brought huge engineering resources & proven systems, which Rimac capitalized on, even in the development of the Tourbillon. Even though collaboration helped build Bugatti’s current foundation, that direct link is now gone.

Downside #2:
HOF Capital / BlueFive are financial investors, not carmakers
Best case: They fund growth and stay hands-off
Worst case: Pressure for returns → strategic shifts later

Downside #3
Loss of the VAG safety net - Bugatti is now further away from VAG scale + any shared platforms / tech
That increases independence— but also risk.

---

 

[klier]

Upside #1:

I see no upside here. Mate Rimac is wet behind the ears.

Upside #2:
Porsche isn’t dumping Bugatti because Bugatti is failing.

No they're dumping them because they're failing themselves.

Upside #3
The new investors bring reasonably deep pockets + willingness to fund long-term projects

Nothing VAG couldn't do themselves, and much better at that.

Upside #4
Under Porsche/VW, Bugatti was always prestigious, but somewhat constrained within a giant group.

Constrained? This has got to be the first time I hear them being constrained. It was the opposite.

 

[slicknick]

I see no upside here. Mate Rimac is wet behind the ears.



No they're dumping them because they're failing themselves.



Nothing VAG couldn't do themselves, and much better at that.



Constrained? This has got to be the first time I hear them being constrained. It was the opposite.

With all due respect, your take on #2 and especially 3 are incorrect. I’m in the industry, and trust me, I know what’s going on.

VAG have also made a lot of poor decisions after Piech and they are coming home to roost.

 

[klier]

I'm in the industry, trust me?

Really?

Like, no way I trust you. I have no idea who you are. What industry? The industry that finances mega corporations? Are you a banker? You're just the next guy with an opinion, with all due respect.

 

[slicknick]

I'm in the industry, trust me?

Really?

Like, no way I trust you. I have no idea who you are. What industry? The industry that finances mega corporations? Are you a banker? You're just the next guy with an opinion, with all due respect.

Automotive industry.

And yes, while we may not know each other personally, and can differ in opinion from time to time. We can respect each other and opinions. I will leave it at that

 

[Design FIRST]

For Bugatti and it's aficionados, it's not good news. For Rimac ? The company has formidable industry cred and will, at worst, take it on the chin with a smile. For Porsche AG/VAG, the inevitable recognition that both Bugatti and Rimac have become surplus to their current, as well as future, requirements.

My 2 Euro cents.

 

[Centurion]

I don't know whether this is a good thing or a bad one. I can only hope Bugatti has a promising future.

It’s good. If it wasn't for Mate, the Chiron successor would have been an EV SUV.

He steamrolled that plan by getting hundreds of current owners to sign letters of intent for the Turbillion.

 

[Esp5]

I suppose they'll hire an external design house for Bugatti, something like Pininfarina, to compensate for the lack of the VW Group's army of designers. Besides, Rimac's exterior designs... have a lot of room for improvement to be considered bad. They're no match for Bugatti.

 

[Centurion]

I suppose they'll hire an external design house for Bugatti, something like Pininfarina, to compensate for the lack of the VW Group's army of designers. Besides, Rimac's exterior designs... have a lot of room for improvement to be considered bad. They're no match for Bugatti.

The Chiron is so different from your average car that it can be considered a skunk works project. Seperate from the VW group and makes heavy use of contractors and third parties for special projects.

The level of engineering that goes into the Veyron and Chiron is closer to an airplane than a car. Hence why it makes sense to divest it. Bugatti is a Pierch vanity project with learnings and components that are not very transferable to lesser cars. Porsche is undergoing an existential crisis. A financial one. Money selling the shares will help and it will also improve focus for the business.

The Phaeton was one of his vanity projects too:

 

[Design FIRST]

Porsche AG was a hair's breadth from bankruptcy in 1992-93. Newly-incoming CEO at the time, Wendelin Wiedeking, looked to Asia (Japan, especially Toyota) for inspiration and input regarding development and manufacturing processes. Today, a similar situation is beginning to unfold-this time with Chinese partners, being the source of inspiration and input. Hence becoming a far more valuable, the consummate in fact, partner for Porsche AG than Rimac could possibly be. And Bugatti became a frivolous, totally superfluous exercise.