Scout, the American subsidiary of Volkswagen, is considering an initial public offering as a potential financing route. 'The entire Scout project was designed from day one to attract strategic investors or partners, or to go public,' CEO Scott Keogh told 'Handelsblatt' in its Monday edition. External capital remains an option on the table, he noted, pointing to U.S. investment funds focused on the industrial revitalization of the United States. Scout was intentionally established as an independent entity within the Wolfsburg-based group.

Keogh also dismissed criticism regarding the project's rising costs. He characterized the jump in the reported budget from two to three billion dollars as a communication breakdown. The lower figure was merely a minimum commitment required to secure subsidies, while the total budget had been approved by VW from the outset.

Volkswagen originally introduced Scout in 2022 as a pure electric brand. However, in response to slowing growth in U.S. EV sales, the automaker later pivoted to include hybrid models in its lineup.

(Report by Philipp Krach, edited by Ralf Banser. For inquiries, please contact our editorial team at berlin.newsroom@thomsonreuters.com (for politics and economics) or frankfurt.newsroom@thomsonreuters.com (for corporate and markets).)