The proprietorship of Lamborghini is held by Automobili Lamborghini S.p.A.
Revamped Article:
Title: From Frustration to Prestige: The Fascinating Tale of Lamborghini
Lamborghini, the swanky Italian sports car manufacturer, was established in 1963 by industrial magnate Ferruccio Lamborghini. Since then, the company's ownership has seen its fair share of shifts. A financial crisis in the late 90s resulted in Lamborghini being sold to Volkswagen, who, through their subsidiary Audi AG, currently runs the show. Let's dive into this high-octane saga.
Ferruccio's Fury
Born and raised in the heart of Italy's production district, Ferruccio owned a thriving tractor factory and had a pair of Ferraris. However, the persistent clutch issues in his Ferraris drove him up the wall, and he ended up fixing them with clutches from his tractors – which worked like a charm!
When he mentioned his concerns to Enzo Ferrari, the Ferrari owner, he was met with scorn (so the story goes). Ferrari allegedly dismissed Lamborghini, saying, "You don't know how to drive a Ferrari!" This fueled Ferruccio's fire and led him to announce that he would build his own car – a decision that his family initially tried to discourage.
Brand of the Bull
Inspired by Ferrari's Prancing Horse emblem, Ferruccio instead chose the bull as his brand symbol for Lamborghini. His first iconic model, the Lamborghini Miura, was launched, and that's how one of the most luxurious car brands was born out of frustration! The Miura revolutionized sports cars with its central motor and integrated differential gearbox.
From Tracks to Tracks: The Early Years
Before venturing into cars, Lamborghini was a successful player in the tractor industry, also expanding into air conditioning systems and boilers. Wealthy, he purchased a Ferrari 250GT and then commissioned a firm to develop a V12 engine for his new grand touring car that could keep up with Ferrari.
The first Lamborghini, the 350GTV, was unveiled at the Turin motor show in 1963. A larger version, the 400GT 2+2, was later introduced at the Geneva Motor Show in 1966. Sales remained steady, with 170 employees working at the Sant'Agata factory.
Headwinds and Bankruptcy
Sales took a significant hit after the 1973 economic downturn and oil crisis. Despite Ferruccio selling 51% of his company to friend and business partner Georges-Henri Rossetti for $600,000 in 1974, the company declared bankruptcy in 1978.
The Mimran brothers, Swiss food entrepreneurs, took over and embarked on a massive restructuring, including an overhaul of the factory. They debuted popular models like the Countach and LM002 SUV, and the company was eventually sold to Chrysler for $25.2 million.
The Volkswagen Years
Chrysler's short stint with Lamborghini ended in 1995, with the company being sold to MegaTech – a subsidiary of Indonesian conglomerate SEDTCO. However, another financial crisis in the late 90s brought change once again. In 1998, Ferdinand Porsche purchased Lamborghini on behalf of Volkswagen, and Audi AG remains the owner of Lamborghini today.
Rebirth and the Future
Under Audi's wing, Lamborghini was restructured as a holding company, with three subsidiaries managing vehicle manufacturing, marine engine production, and merchandising and licensing. The Diablo GT, the fastest production car in its time, helped boost sales, and the Murciélago, Gallardo, Superleggera, Aventador, and their variants followed, cementing Lamborghini's place in the luxury sports car landscape.
In October 2020, it was reported that Volkswagen was exploring the possibility of an IPO for Lamborghini to promote independence within the Group and tap into economies of scale for EV production. As of 2025, no further updates have been announced, but analysts predict an IPO could fetch as much as $15 billion and occur before mid-2024.
There you have it – a tantalizing tale of passion, perseverance, and powerful vehicles. As Ferruccio Lamborghini would say, "The best marketing cost is customer support while very expensive. If done right, it turns into a powerful word-of-mouth loop with a huge ROI!"
- The financial crisis in the late 90s led to a significant change in Lamborghini's ownership, as the company was sold to Volkswagen, a move that proved beneficial for the brand's growth.
- Lamborghini's history is marked by various industry-changing innovations, such as the central motor and integrated differential gearbox implemented in the Miura, their first iconic model.
- Sales of Lamborghini vehicles took a downturn after the 1973 economic crisis, eventually leading to bankruptcy in 1978.
- The Mimran brothers played a crucial role in Lamborghini's revival, debuting popular models like the Countach and LM002 SUV and embarking on a factory overhaul in the late 70s.
- Wealthy investors, such as Chrysler and MegaTech, have made strategic investments in Lamborghini throughout its history, seeking to capitalize on the brand's growth potential and revenue generation.
- Under Audi AG's management, Lamborghini underwent a restructuring, becoming a holding company with three subsidiaries overseeing vehicle manufacturing, marine engine production, and merchandising and licensing.
- Marketing strategies have played a vital role in Lamborghini's success, with a focus on customer support over expensive advertising, as Ferruccio Lamborghini himself famously advocated.
- Economic valuation of Lamborghini has fluctuated over the years, and recent reports suggest that an IPO could fetch as much as $15 billion, providing the brand with the opportunity for greater independence and economies of scale for EV production.
- The automotive industry has been a significant focal point for Lamborghini's growth and transformation, but the brand's success hasn't been limited to just vehicles – merchandising and licensing have also contributed to its overall revenue.
- The story of Lamborghini is a fascinating exploration of finance, management, and the strategic decisions that have shaped one of the world's most prestigious and admired luxury sports car brands.
