Deals
China's Geely to Acquire Stake in Malaysian Carmaker Proton
- Biggest deal for Geely since takeover of Volvo Cars in 2010
- DRB-Hicom was seeking partner for Proton after government loan
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Chinese billionaire Li Shufu’s Zhejiang Geely Holding Group agreed to acquire a 49.9 percent stake in unprofitable carmaker Proton Holdings Bhd. from Malaysian conglomerate DRB-Hicom Bhd.
Geely will also buy a 51 percent stake in British sports-car maker Lotus Cars from Proton and the two parties expect to sign a final agreement before the end of July, the Chinese company said Wednesday. DRB-Hicom is still negotiating on the transaction price for stake in Proton, after reaching agreement on a ballpark figure, Group Managing Director Syed Faisal Albar said at a press conference in Putrajaya.