8 Dec 2009

VW takes half stake in Porsche

1:12 pm on 8 December 2009

Volkswagen has taken a stake of almost 50% in Porsche for $US5.8 billion.

It's the latest step in a full merger between the two German car companies, which is due to be completed in 2011.

The BBC reports Porsche had hoped to take over its larger rival, but unsustainable debts at the luxury car maker saw the reverse happen.