Rimac Automobili, a Croatian electric supercar maker, has acquired a majority stake in the Volkswagen owned, Bugatti.
Rimac will own a controlling 55 percent of Bugatti, with Volkswagen’s Porsche owning the remaining 45 percent. Under the deal, the supercar will be known as Bugatti Rimac.
The new company will be based in Zagreb, Croatia. It will be founded in the fourth quarter of 2021, subject to approval from competition authorities, the companies said.
In a statement, Rimac founder and CEO Mr. Mate Rimac remarked that “Rimac and Bugatti are a perfect match in terms of what we each contribute to the table. With over a century of engineering excellence, Bugatti also has one of the most illustrious histories of any automotive firm in history.”
Porsche itself holds a minority stake in Rimac. It began purchasing shares in the company in 2018 and has steadily raised its holdings to its current 24 percent.
Rimac recently, introduced the Nevera, a hypercar powered by a 120kWh battery pack and four motors that produce an astounding 1.4MW of power equal to 1,914 horsepower. It has a top speed of 258 mph and can go from 0 to 60 mph in 1.85 seconds. The Nevera is set to surpass the Bugatti Chiron as the world’s fastest sports vehicle.
It also announced that it would separate the development, production, and supply of battery systems, drivetrains, and other EV components under a new Rimac Technology organization, which will work independently with other worldwide automobile manufacturers.
The European Union is set to announce higher CO2 emissions standards for 2030, which will force automakers to accelerate the transition to electric vehicles.
Volkswagen announced last month that, it will discontinue producing cars with internal combustion engines in Europe for its flagship brand between 2033 and 2035.
Related: Volkswagen’s “not-for-sale subsidiary” receives $9.2bn bid: Report
