We had reported earlier that Porsche had struck a deal with some of the New York hedgde fund claimants to discontinue their US actions. In return, Porsche had agreed not to invoke the statute of limitation if the actions were filed again in Germany. According to press reports, 25 funds, including Viking Global,Tiger Global, Royal Capital, Glenhill Capital and Greenlight Capital have now filed claims in the order of EUR 1.4 billion against Porsche SE.
The claims are related to Porsche’s failed attempt to take over Volkswagen in 2008. Some of the earlier actions were filed in Stuttgart, where Porsche is domiciled. They were then transferred to the district court (Landgericht) Braunschweig, as Volkswagen’s Wolfsburg headquarter is in its district. This was on the basis that securities claims should be heard by the court where the issuer is located, and the securities in question were Volkswagen shares.
Right now, however, the Braunschweig court is considering an application to transfer the matter to yet another court, as anti-trust issues may be of relevance. Hannover and Frankfurt are rumoured as the next destinations. Good thing that here in Germany, we have these wonderful autobahns and those wonderful Porsches to get from one court house to the next – fast and in style.