So now that Porsche finds that it needs more money, it can simply borrow the money from VW. Porsche recently confirmed that it is taking a $980 million loan from VW even as it insists that it does not have a debt problem.
Talk about denial. It is said that Porsche has a debt of 9 billion euros as of January 2009. That's over 12.5 billion US dollars. It was the debt which caused Porsche to drop its plan for a complete takeover of VW.
Now there are reports that Porsche was struggling in March to raise 12.5 billion euros ($17.3 billion) in loans to cover the cost of refinancing its debt. The company ultimately raised 10 billion euros ($13.91 billion) and most recently was able to get another 750 million euros ($1.04 billion). Now it is looking at ways to get the remaining 1.75 billion euros ($2.43 billion) in loans.
Our take? Will there be another raid on VW?