VW buys Italdesign Giugiaro

By Tom Phillips

10th August 2010

VW is now the proud owner of Italdesign Giugiaro (IDG). As we previously announced, the firm has now purchased a 90.1 per cent stake in the Turin-based firm, with the remaining 9.9 per cent remaining in the hands of the Giugiaro family. Founder Giorgetto Giugiaro will remain as Chairman of the Executive Committee, while his son Fabrizio is Vice President.

Speaking about the new acquisition, VW boss Dr Martin Winterkorn said, "Italdesign has now become a permanent member of the Volkswagen Group. Given the full order books and numerous interesting projects, the perspectives are better than ever."

"In view of our ongoing model initiative and the associated development and design assignments, we will be expanding Italdesign’s highly-motivated and productive team."

Italdesign was founded in Turin in 1968 and has a history of working with VW. Giugiaro penned the original Golf, and created concepts for the first Volkswagen Passat, Scirocco and the Audi 80.

IDG was purchased through VW-owned Lamborghini, exploiting the fact that if the Italian firm made the purchase, the tax paid on the deal is considerably lower. VW’s acquisition of IDG is part of the firm’s growing ambitions in Asia as Chinese carmakers in particular attach a great deal of status to cars which are designed in Italy.