Europe’s biggest car company, Volkswagen, is in negotiations to buy Porsche. Both companies say they want an integrated automotive group.

Porsche’s chief executive Wendelin Wiedeking failed in his attempt to take over VW, so now he is agreeing to let VW buy Porsche. The move is no a surprise as Porsche has large debts due to the downturn in the global economy.

VW states a new company will be achieved by gradual involvement of Volkswagen in Porsche AG. Porsche’s car unit. VW claims Porsche can continue its independent development under Volkswagen and keep its own identity.

Also Qatar would buy a 17% stake in VW increasing it’s financial viability moving forward.

The merger should be complete by the middle of 2011.

If you want a 100% Porsche, now is the time to buy. Might be a future collectible