Volkswagen overtakes SAP to become Germany's most valuable blue-chip

FRANKFURT (Reuters) - Volkswagen overtook software maker SAP on Wednesday as the most valuable company in Germany's blue-chip DAX index, as investors warm to the carmaker's plans to take on Tesla.

Volkswagen shares rose as much as 12%, giving the company a market valuation of more than 136 billion euros ($162 billion), compared with SAP's 127 billion.

Volkswagen shares have gained 47% year-to-date, supported by a raft of announcements on its electric vehicle expansion strategy, which culminated in a "Power Day" this week including plans to build six gigafactories in Europe by 2030.

Chief Executive Herbert Diess said on Tuesday he thought Volkswagen, the world's second-largest carmaker after Toyota, was worth 200 billion euros, still a far cry from Tesla's $650 billion market value.

($1 = 0.8401 euros)

(Reporting by Christoph Steitz, Alexander Huebner and Hakan Ersen. Editing by Mark Potter)

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• Norway will drill in Arctic regardless of EU's position, says energy minister
• China evacuates tens of thousands as rain from Typhoon Narra lashes southwest
• Oman foreign minister to visit Tehran on Tuesday, Iranian foreign ministry says