Porsche was seeking a government loan of Rs. $2.5b, but according to some new reports the company has confirmed that KFW (state bank of Germany) has rejected its loan request and now they are looking for some other financing sources.
The company wanted to utilize that loan to support its bad to worse getting financial condition, but now it would try to find some other source to make up its cash shortfall of $3.5b. In its efforts for the buyout of much larger automaker Volkswagen, the German automaker has amassed $12b in debt.
According to Porsche, it’s not going to submit another loan application to KFW.
