It looks like Bugatti may soon transition into a fully-electric car company. This comes after reports surfaced that Volkswagen is looking to sell the French supercar brand to electric car company Rimac.
Executives from Volkswagen have reportedly approved of the huge deal with the Croatian-based company last week. However, it has yet to be signed off by the auto giant's supervisory board. But why did Volkswagen decide to offload Bugatti from its portfolio?
Apparently, VW Group is no longer keen on investing in expensive supercars. With high development costs and low volume profits, the Bugatti brand does not exactly generate huge money for Volkswagen. And with the company's new direction towards electrification, digitalization, and autonomous driving, selling off Bugatti to another company sounds like the most logical thing to do.
Bugatti brand served as the 'crown jewel' of VW Group when it was revived by former Chairman Ferdinand Piech. What can VW gain from the deal besides a large sum of money? Well, Porsche initially took a 10% shake in Rimac, which it eventually increased to 15.5%, they could leverage this by making Porsche take a bigger share in the EV brand.
With Rimac specializing in electromobility, battery development, and in performance electronics, Volkswagen could gain more access to Rimac's technologies by way of Porsche. And since Porsche already has the Taycan EV on their portfolio, having a major share in Rimac means they could further borrow technologies from the Croatian company.
As for the future of Bugatti under Rimac, the Molsheim-based supercar brand may be in good hands as Rimac is also in the business of making hypercars. The company's main arsenal is the C_Two which was first revealed back in 2018. Despite having an odd name, the C_Two actually makes a whopping 1,940 PS and a staggering 2,300 Nm of torque. With that kind of output figure, the Rimac C_Two easily beats out the most powerful Chiron Super Sport which already makes an impressive 1,599 PS and over 1,600 Nm of torque.
With Porsche looking to increase its share in Rimac up to 49%, maybe Volkswagen's plan to sell Bugatti will result in the company acquiring all of the available technologies from Rimac. Perhaps letting go of Bugatti will actually help Volkswagen realize its electric future.