Volkswagen Potential Spin-off (Lamborghini and Ducati) Notes

November 19, 2020 – Update

  • The press is reporting that Volkswagen is considering spinning off its Lamborghini and Ducati Brands.
  • This strategy would be similar to the approach Fiat Chrysler took when it spun off Ferrari (RACE) which has performed very well.
  • Volkswagen mgmt and board of directors will host a 5 year outlook meeting in November which during which the company could provide additional details about the potential spin-off.
  • Here’s a good Bloomberg article with some backstory on Volkswagen (spin-offs or sales have been considered for a while).
  • Here’s Bloomberg’s sum-of-the-parts analysis: