Proton and Geely to tie the knot?

 |May 24, 2017
File pic credit Proton.

In quoting sources, Reuters yesterday reported that Chinese automaker Geely has agreed to buy Proton from DRB-Hicom.

Beating out rival bidder PSA Group, the company will acquire 49 per cent of Proton, the report added.

Reuters said DRB-Hicom could not be reached for comment as it was after office hours, however it said that the group had asked for trading in its shares to be suspended pending an announcement.

The Zheijang Geely Holding Group controls Geely Automobile which is based in Hong Kong, as Sweden’s Volvo Car Group.

In March this year, the South China Morning Post reported that Geely Automobile Holdings had withdrawn its bid to acquire a controlling stake in Proton.

Geely President An Conghui did not elaborate on the reasons, according to SCMP.

However, the article stated that the company’s chairman Li Shufu, in an interview with Bloomberg, also in March, indicated that Proton had been uncertain about what it wanted from an overseas partner.