In a statement
released on Friday, Qatar Holdings, a Gulf company, will be third largest shareholder in Volkswagon AG, after Porsche and Lower Saxony. The 17 per cent purchase will be worth more than $10 billion.
This latest acquisition comes after UAE's Aabar Investment
purchased a stake of 10 per cent in Daimler AG, which is famed for its Mercedes-Benz brand.
Chief Executive of Qatar Holdings Ahmad al-Sayed said, "As a long-term strategic investor, we believe that the combination of Porsche and VW represents a unique investment opportunity for Qatar Holding and we are pleased to play an integral role in bringing these two companies together. We look forward to exploring new avenues of co-operation in Qatar in automotive research and related technologies."
The statement also states that Porsche will develop research facilities in Doha as part of the transaction.