By Helena Smolak


Varta shares soared following luxury carmaker Porsche's interest in acquiring a majority stake in the troubled battery maker's lithium-ion batteries subsidiary.

At 0736 GMT, shares of Varta traded 21% higher at EUR10.80. The stock has lost 48% year to date.

The German battery manufacturer said late Thursday that both companies entered into a nonbinding term sheet and are in the first phase of agreeing on the documentation for such a transaction, subject to approvals. Varta didn't disclose financial details.

The move comes after Varta cut its revenue forecast for fiscal 2024 amid significant deterioration in the energy-storage systems market.


Write to Helena Smolak at helena.smolak@wsj.com


(END) Dow Jones Newswires

07-05-24 0410ET