Volkswagen and Italdesign Giugiaro have officially dotted the i’s and crossed the t’s on the rumored purchase of the German automaker on the Italian design house. As part of the deal, Volkswagen will get a 90.1% stake of the company with the remaining 9.9% going to the Giugiaro family.

Volkswagen is also expected to keep most - if not all - of Italdesign’s current employees, including founder Giorgetto Giugiaro and his son, Fabrizio, to retain their positions as high-ranking executives of the design house.

Prof. Dr. Martin Winterkorn, Chairman of the Board of Management of Volkswagen Aktiengesellschaft, commented on the purchase, saying that, "With this shareholding in Italdesign, we are participating in one of the most renowned design and development companies with one of the richest traditions in the automobile industry. Italdesign is the flagship for creative Italian automobile design and has been instrumental in shaping the face of the automobile industry worldwide. As the creator of the Golf I, Giorgetto Giugiaro laid a new foundation for Volkswagen design in the 1970s."

For its part, Italdesign Giugiaro was also excited about the new direction of the company under the Volkswagen umbrella. "Becoming part of the Volkswagen Group means revaluating ourselves and our strength," said Giorgetto Giugiaro. "Entering Volkswagen means to open up a promising perspective for the company."

Press Release after the jump

Volkswagen takes 90.1 percent stake in internationally renowned design and development services company

Expansion of capacity and competence for global model initiative

Volkswagen Board of Management Chairman Winterkorn: "New era in strategic partnership between these two companies"

Wolfsburg/Turin, May 25, 2010 – The Volkswagen Group and Italdesign Giugiaro S.p.A. (IDG), Turin, are to intensify their successful cooperation, putting it on a new footing. This was announced by both companies at a joint press conference in Turin on Tuesday. The Volkswagen Group will take a 90.1 percent stake in IDG, including the brand name rights and patents. The shares are being acquired by AUDI’s Italian subsidiary Lamborghini Holding S.p.A. The remaining shares will stay in the possession of the present owner family Giugiaro.

"With this shareholding in Italdesign, we are participating in one of the most renowned design and development companies with one of the richest traditions in the automobile industry. Italdesign is the flagship for creative Italian automobile design and has been instrumental in shaping the face of the automobile industry worldwide. As the creator of the Golf I, Giorgetto Giugiaro laid a new foundation for Volkswagen design in the 1970s," Prof. Dr. Martin Winterkorn, Chairman of the Board of Management of Volkswagen Aktiengesellschaft, commented in Turin.
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The Volkswagen Group has enjoyed successful cooperation with IDG for many decades. Giugiaro made a name for himself not only with the Golf I, but also with concepts for important models such as the first Volkswagen Passat, Scirocco or the Audi 80. A comprehensive development framework agreement was concluded in 2008. Volkswagen and IDG are also collaborating closely on ongoing projects such as the planned Volkswagen Up! model family. Implementation of the agreement is also subject to the standard approval by the relevant authorities.

"A new era in the strategic partnership between our companies begins today. Italdesign becomes a permanent member of the global Volkswagen family," Winterkorn said. "The Volkswagen Group will be continuing its model initiative over the coming years and will benefit from the capacity and competence of Italdesign. The company will therefore be making an important contribution to our 2018 global growth strategy," Winterkorn continued.
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IDG was founded in Turin by Giorgetto Giugiaro and Aldo Mantovani in 1968. Both founders are considered pioneers of modern Italian automobile design. Italdesign has also acquired a reputation worldwide as a highly-competent development center. Today, the company generates sales of over €100 million and has a workforce of some 800 employees.

"Every drop becomes the sea when it flows oceanward. In the last few days I ran into this sentence while I was reading Sophie`s World by the Norwegian novelist Jostein Gaardner. We are the drop. Becoming part of the Volkswagen Group means revaluating ourselves and our strength. Entering Volkswagen means to open up a promising perspective for the company," Giorgetto Giugiaro said.

Source: Volkswagen

What do you think?
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6 comments:

  (714) posted on 05.25.2011

Well, we can’t really deny the fact on how successful is this car brand they have been in the industry for quite sometimes. And I think talking about reliability this car has it!

  (409) posted on 05.25.2011

hmm. I really don’t like on how this car look. Its not even cute in smaller version.
I’d rather choose to have and use the original concept.

  (1023) posted on 05.31.2010

I’m sorry to say but the concept looks like the scratch design of lamborghini, and I think this design isn’t appropriate to be a Volkswagen.

  (798) posted on 05.30.2010

Impressive VW has finally bought Guigiaro with €100 million and their 800 employees. Well this is a good year of giugiaro.

  (815) posted on 05.27.2010

Let’s hope this would become a big success to the Volkswagen.

  (406) posted on 05.26.2010

Looks like a chop chop version of Lamborghini.

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