Following a recent International Court of Arbitration ruling, Volkswagen Group has sold its 19.9% shareholding in Suzuki back to the Japanese company. This transaction was concluded after-hours at the Tokyo Stock Exchange on 10 September, for the closing price of 3842.5 yen — which had fallen back from a brief speculative spike. Suzuki therefore paid £2.45bn for the stake’s return, more than doubling VW’s original investment in 2009 to seal a partnership agreement that had rapidly turned sour.
Suzuki has yet to announce the fate of its recovered share tranche. Leading US activist investor Daniel Loeb of hedge fund Third Point, who has built up a sizeable Suzuki stock position, is lobbying for cancellation to boost other shareholders. Arbitrators have yet to decide whether Suzuki also owes VW compensation for failing to abide by certain aspects of the original agreement.