Geely acquires 49,9% of Proton and 51,0% of Lotus
- The Chinese group Geely has acquired 49.9% of the Malaysian brand Proton and 51% of the British brand Lotus which is owned by Proton. Geely plans to give Proton access to certain technologies it has developed with its subsidiary Volvo Cars and to certain markets where Geely is present. Geely could also use Lotus's expertise in composite materials and light manufacturing methods. Geely considers this technology to be transferable on all vehicles it sells in China. Lighter cars will help the brand meet future emission standards.
- Proton had tried to internationalize its sales between 2005 and 2015, but the Malaysian manufacturer did not succeed in sustaining this strategy, which would have enabled it to become a global player. Successive attempts to partner with PSA, GM, Volkswagen and Suzuki, between 2006 and 2016, have also failed. One of the reasons for these failures may be that the Proton company not only missed its internationalization but also saw its influence sharply decrease over the past three years in its own market for the benefit of the other Malaysian manufacturer, Perodua.
- Proton's worldwide sales were halved between 2013 and 2016, from 215,000 to 75,000, while Perodua's sales increased from 196,000 to 206,000 units at the same time. After taking over Proton, Geely will first have to relaunch the brand's sales on the Malaysian market before going international.
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