Porsche in more legal trouble - Facing additional $1.8 billion law suit from hedge funds
The Porsche failed takeover bid of Volkswagen continues to have more negative ramifications. Porsche already was facing lawsuits of over $3 billion
but now that number is rising to over $5 billion as an additional 25 hedge funds in Germany have brought suits against Porsche. As word of this got out, Porsche stock fell 3.7% and is likely to tumble more. Suits were originally brought against Porsche in the USA but the hedge funds agreed to pursue this in Germany instead.
Porsche has no comment as they have not received the suit yet. Basically, the suit claims that Porsche misled investors about its takeover plans of VW which failed costing those investors a lot of money.
What will happen? We will have to wait and see.