(Bloomberg) -- Porsche AG is considering taking a stake in Varta AG, according to people familiar, as the embattled battery producer weighs options to restructure its debt. Most Read from Bloomberg The German luxury car maker aims to not only take a majority stake in Varta’s e-mobility battery unit but also to acquire a minority interest in the entire group, said the people, who asked not to be named as the matter is private. Porsche confirmed it was open to taking a larger role in Varta’s restructuring “to keep this key technology in Germany.
” Porsche has been pursuing its own strategy on batteries to supplement the plans of parent Volkswagen AG. This includes building high-performance cells through its Cellforce venture, while the premium car maker last year also detailed plans for a €3.3 billion ($3.
6 billion) site, for which it’s seeking financial and strategic partners. Varta is currently weighing two proposals for a financial restructuring with creditors and potential investors, the firm said in a statement Sunday. These include Porsche, a company controlled by Austrian entrepreneur and its majority shareholder Michael Tojner, as well as other interested parties, it said.
All potential restructuring options for Varta aim to inject a “high two-digit million euro amount” of fresh funds into the business, the company said. Both proposals would entail a delisting of Varta’s share and certain creditor groups would also see a “significant” debt haircut, .