Porsche has completed its exit from Bugatti Rimac and Rimac Group, turning its stakes in the Croatian electric hypercar businesses into around €1 billion in proceeds as the luxury automaker moves to strengthen its finances and refocus on its core operations.

The German sports-car maker said on Wednesday that the sale had received all necessary regulatory approvals, bringing an end to its investment in the businesses.

Porsche had held a 45% stake in Bugatti Rimac and a 20.6% interest in Rimac Group after helping establish the Bugatti Rimac joint venture in 2021.

The cash injection will have an immediate impact on Porsche’s financial outlook. The company expects the transaction to lift its 2026 automotive net cash-flow margin to between 5.5% and 7.5%, up from its previous forecast of 3% to 5%.

Porsche also plans to direct €250 million of the proceeds towards strengthening its pension obligations.

The disposal comes as Porsche faces mounting pressure from weaker demand in China and a slower-than-expected shift to electric vehicles.

Those challenges have weighed on earnings across Europe’s automotive industry and are prompting manufacturers to reassess investments and capital allocation.

Under the new ownership structure, Rimac Group will take full control of Bugatti Rimac alongside new investors. Founder Mate Rimac will become president of Bugatti Automobiles, while former Rimac Technology executive Marko Brkljačić is expected to join as chief operating officer.

For Porsche, the sale marks a clear financial reset: cash is being prioritised as the company navigates a tougher luxury-car market and a more uncertain electric-vehicle transition.