BERLIN (AFP) - German sports car builder Porsche said Saturday it wants to take control of the giant Volkswagen group, in which it already holds a 27.3 percent stake.
A statement issued after a special board meeting said that Porsche would initially raise its stake to up to 31 percent, which under German law would oblige it to make a full takeover bid.
Porsche, which said it will exercise an option to purchase up to a further 3.7 percent of VW shares, had previously denied growing rumours of a takeover move.
Shares in Volkswagen soared in afternoon trading in Frankfurt on Friday after rumours that Porsche, its biggest shareholder, was preparing a public stock offering.
VW shares were up 5.36 percent to 116.74 euros on the Dax index.
A trader said the market was speculating on Porsche making an offer on Monday with shares at between 117 and 118 euros.
Porsche had earlier expressed its intention of upping its holding to 29.9 percent, just below the limit of 30 percent that would trigger a takeover bid.
But the luxury carmaker said several times it had no intention of exceeding a 29.9-percent holding.
Copyright © 2007 Agence France Presse
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