Proton Holdings Bhd shares are now at a 7-year all time low, closing at RM4.02 yesterday, but not after dipping to an intra-day low of RM3.98. This is a 18.6% drop. You can see the effects of this share drop in the local automotive forums, where some reveal their losses of thousands of ringgit on paper value.
Second Finance Minister Tan Sri Nor Mohamed Yakcop says there is no reason for investors to fret over the price decline as this is a normal market reaction. He also added that there is no specific timeframe for the management of Proton to turn around, but the government hopes the company will keep the momentum going with efforts to increase sales and quality.
I am sure there is a timeframe, otherwise it would not make any sense at all to throw away all that hard work in steering the Proton-Volkswagen negotiations towards a positive end result – something that has been going since 2004.