By David Sachs


Volkswagen said that publicly listing its battery business is still an option after Renault canceled plans for an initial public offering of its electric-vehicle spinoff amid market concerns.

The German carmaker's PowerCo unit, meant to bring electric-vehicle battery production in-house, could still hit the stock exchange in the future, Volkswagen told Dow Jones Newswires on Tuesday. Worldwide EV growth is steady if not as steep as expected, the company said, adding that raw-material prices are volatile.

"We are willing to open the capital structure and continue to evaluate our options against the backdrop of the market environment," the company said. "The interest we see from investors remains high. An IPO is a tangible option in the future."

Late Monday, Renault canceled plans for an IPO of electric-car business Ampere, citing an inhospitable equities market. Analysts had previously worried about share dilution and EV demand.

Bloomberg reported Tuesday, citing unnamed sources, that slowing EV demand means an IPO for PowerCo won't happen this year or next.

Volkswagen said last April that it would maintain "full flexibility" in its approach to obtaining external funding for PowerCo, according to a transcript of an investors' meeting. It didn't provide a timeline for a potential listing.


Write to David Sachs at david.sachs@wsj.com


(END) Dow Jones Newswires

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