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Management changes at Volkswagen have led to rumors of a potential takeover by Porsche, another German carmaker. The company's supervisory board forced out CEO Bernd Pischetsrieder recently, and Wolfgang Bernhard, the head of the VW brand, has just resigned. Many see these moves as a consolidation of the power of supervisory board Chairman (and former VW CEO and Chairman) Ferdinand Piëch. Piëch's family controls the carmaker named for his grandfather, Ferdinand Porsche, a company that recently increased their ownership of Volkswagen to 27.4%. Porsche has also raised their level of equity capital recently, leading some financial analysts to consider the possibility that they are preparing for a full takeover of VW. |
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