Volkswagen, Germany's largest automaker, is considering selling its stake in Bayern Munich, the top club in Germany's Bundesliga where South Korean national team defender Kim Min-jae plays, as the company pursues a large-scale restructuring, according to reports. The move appears to be part of a broader review to scale back sports sponsorship to cut costs.
According to Bloomberg and other outlets on Monday, German investigative outlet Correctiv reported that Volkswagen Group is considering selling its 8.3% stake in Bayern Munich and 10.4% stake in Stuttgart, held through affiliates Audi and Porsche. The group is also reportedly discussing plans to reduce its football-related advertising and sponsorship budget.
Volkswagen acquired its Bayern Munich stake in 2009 by investing 90 million euros (about 158.9 billion won), and in 2023 spent 45 million euros (about 79.5 billion won) to acquire its Stuttgart stake. If the Stuttgart stake is sold, the name of the home stadium "MHP Arena," named after the group's affiliated management consulting firm MHP, could also change, according to reports.
Volkswagen is a leading sponsor in German football, backing the German national team and several Bundesliga clubs, spending more than 100 million euros (about 176.9 billion won) in advertising each year.
However, support for the clubs in Wolfsburg, where the group's headquarters is located, and Ingolstadt, where Audi is headquartered, is likely to be maintained. Wolfsburg began in 1945 as a football team of Volkswagen factory workers and remains owned by the group to this day.
The decision on whether to sell the stakes has not yet been finalized. Volkswagen is also reviewing how much its advertising impact would decline if it reduces or withdraws from football sponsorship.
Meanwhile, Volkswagen CEO Oliver Blume is expected to submit a restructuring plan to the group's supervisory board on the 9th, which includes cutting 100,000 of the company's 657,000 employees worldwide and closing four additional plants.
