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Porsche has moved to become the largest shareholder of the German giant Volkswagen group, and is now tipped to be attempting to spin-off the Audi brand from the consortium so that the sports carmaker may acquire the luxury brand’s shares by itself. Porsche is understandably being very tight-lipped about the issue, but many analysts have acknowledged the potential that could be gained from such a reorganization.

If the merger occurred, Porsche together with Audi would be able to sell more than a million cars annually, with a higher yield than either Mercedes or BMW. This would leave Volkswagen Group consisting only of VW, Skoda and Seat, which would still maintain an annual output of four million cars but with much lower margins. It would also enable Audi to make the final push to unseat BMW and Mercedes as the premier German carmaker.

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