Volkswagen shares leapt by 95.4% to 412.00 euros in morning trading on the Frankfurt stock exchange on Monday after Porsche said it had increased its stake in the biggest European car maker.
VW shares soar on Porsche deal
On Sunday, Porsche said that it now controlled 74.1% of the shares in Volkswagen, via a 42.6% direct equity stake and options giving it another 31.5%.
Porsche said that it still aimed to increase its direct equity stake to over 50% by the end of 2008 and that it wanted to raise this to 75% in 2009, "provided that economic conditions allow," according to a statement.
Previously Porsche had said it had a 35% stake. Having more than 75 would allow it to seal a so-called domination contract giving it full financial control of Volkswagen AG.