September 10th, 2011 
davidguide Berlin, Germany (AHN) – A planned merger between Porsche and Volkswagen has fallen apart.
The announcement caused shares of Porsche to trade by 10.95 percent lower at the close of trading on Friday while Volkswagen shares fell by 0.8 percent.
Volkswagen announced late Thursday that the companies would not complete the merger by the end of the year as originally planned.
The merger has run into a variety of obstacles since the two companies agreed in 2009 to merge by the end of this year.
Porsche encountered legal problems that included lawsuits from investors in the United States and Germany as well as investigations into former executives.
In the meantime, Porches’ attempt to take control of Volkswagen has left Porsche with $14 million in debt.
Volkswagen said in its release that it was not possible to complete the merger in the timeframe stated in the agreement. However, it also said that there were other courses of action open to create an integrated automotive group with Porsche.
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