German sports carmaker Porsche has made EUR 6.8 billion by buying long Volkswagen options. The money was made in only six months ended Jan 31, 2009.

Porsche went long in VW while others shorted the company, including German billionaire Adolf Merckle, 74, who lost $400 million by shorting the VW shares, who later apparently committed suicide by stepping into the path of a train in his home town of Blaubeurennear in southwestern Germany.

In related news, VW has just unveiled a new $767 million production facility in western India, where the company hopes to produce 110,000 vehicles annually. The new plant is now the most advanced plant VW has and is expected to employ 2,500 people.

VW sees significant growth potential in India. VW board member Jochem Heizmann said, “India’s automobile market will grow each year from the current 1.2 million vehicles to over two million vehicles by 2014,”