Volkswagen AG (VLKAY, VOW.XE) Chief Executive Martin Winterkorn said Monday the auto maker is "slightly more optimistic" about the prospects and timeframe of the merger with Porsche Automobil Holding SE (PAH3.XE), after a U.S. court last month dismissed a lawsuit filed buy a group of hedge funds over alleged market manipulation.
Winterkorn added that major shareholder Qatar Holding LLC is set to participate in the planned capital increase at Porsche, which is part of the merger plan.
"Qatar is a very stable major shareholder ... We wouldn't do this if they wouldn't back it," Winterkorn told reporters at the North American International Auto Show. He noted, however, that some legal issues still need to be resolved before the deal can be completed.
Winterkorn is the CEO of both Volkswagen and Porsche's holding firm, which plans a EUR5 billion capital increase to reduce debt ahead of the planned merger with VW. The emirate of Qatar holds voting stakes of 17% and 10% in Volkswagen and Porsche, respectively, and is set to emerge as the third anchor shareholder of a combined company along with Porsche's owner family and the German state of Lower Saxony.
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