Luxury car manufacturer Porsche has increased its stake in Croatia-based electric sports car developer Rimac Automobili from 15% to 24% by providing €70m ($83.2m) of additional funding.
The investment represents the third time Porsche has provided equity financing for the company, most recently supplying an undisclosed amount in September 2019. The latest deal would value it at about $925m.
Rimac was founded in 2009 and is developing electric sports cars and components for electric vehicles. The company’s latest electric car, the C_Two, can reach a top speed of 412km per hour and can recharge 80% of its battery within half an hour.
The capital injection will involve Porsche and Rimac expanding their strategic partnership. Porsche’s deputy chairman, Lutz Meschke, said: “Our investment in Rimac has turned out to be absolutely right.
“The value has increased many times over since our initial investment. The company has developed very well technologically. We are expanding our cooperation step by step and are also benefiting from Rimac’s strength in innovation.”
Carmaker Hyundai Motor Company and subsidiary Kia Motors invested $93.7m in Rimac in May 2019. Hyundai provided $75m to lead the round, while Kia provided the remaining $18.7m.
Porsche initially invested an undisclosed amount in Rimac in exchange for a 10% stake, as part of a series B round of undisclosed size led by battery producer Camel Group in 2018.
Rimac had previously received $35.3m of series B funding from Camel the year before, following a $12.5m series A round in 2014 led by electric vehicle manufacturer China Dynamics and backed by Integrated Asset Management Asia and Frank Kanayet Yepes.