BERLIN – Germany’s Volkswagen AG could make Suzuki Motor Corp. its subsidiary by buying a larger stake in the automaker, German magazine Der Spiegel reported Sunday, citing a senior Volkswagen official.
The official was quoted as saying that Europe’s largest automaker will not rule out the possibility of launching a hostile bid for Suzuki, which has decided to dissolve its nearly two-year capital partnership with Volkswagen.
Volkswagen is Suzuki’s leading shareholder and has a 19.9 percent stake. It has targeted Suzuki as its base for small cars in the group, the magazine said.
It is now possible VW will up its stake without consent after Suzuki announced Sept. 12 that it will end the tieup, the magazine said.
Suzuki has asked Volkswagen to end the partnership, which was concluded in 2009, in protest against Volkswagen’s bid to expand its influence on Suzuki’s management, which sought to maintain autonomy via an “equal” partnership with Volkswagen.