Kuala Lumpur: The parent of Malaysia’s Proton said on Friday that Chinese auto giant Geely will inject $40 million and an SUV product into the loss making carmaker, as it looks to access a Southeast Asian market dominated by Japanese automakers.
DRB-HICOM Group Managing Director Syed Faisal Albar said Geely will invest 170.3 million ringgit ($39.7 million) cash and its SUV Boyue platform worth 290 million ringgit for the 49.9 per cent stake in Proton it agreed to buy in May.
Geely will also pay Proton £51 million ($65 million) for a 51 per cent stake in British sports-car maker Lotus, he said.
“With Zhejiang Geely Holding Group on board, Proton can now eye the huge Southeast Asian passenger car market with renewed confidence,” he said at the signing ceremony of the deal, which was attended by Malaysian Prime Minister Najib Razak and Zhejiang Geely Holding Group chairman Li Shufu. — AFP
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