DRB-Hicom, the apparent winner of the tussle for Khazanah Nasional Bhd’s 42.74% stake in national carmaker Proton, has officially announced a proposal to acquire the stake to Bursa Malaysia, as any listed company is required to do.
They will pay the Government’s investment holding arm RM1,291,040,812, or RM5.50 per share in cash. DRB-Hicom also proposes to do conduct a mandatory general offer (MGO) to buy up the shares it doesn’t already own after the deal with Khazanah, as per listing rules.
Minority shareholders will be offered the same price – RM5.50 per share – as the conglomerate is offering Khazanah. Last Friday, before trading of Proton shares were suspended, the counter closed at RM5.18.
The deal is almost 100% done, but for two caveats: the approval of the shareholders of DRB-Hicom at an extraordinary general meeting to be convened AND the approval of or notification to the Ministry of International Trade and Industry (MITI) on the change of shareholder of Proton.
In the proposal, DRB-Hicom also stated that it will not carry out any dealing with any Proton shares within two years from the transaction date, including the disposal of the assets of Proton, or any of its group companies. The company also says that during the period of one year from the completion date, it will not propose or vote in favour of any plans which may result in the dismissal, discharge, retrenchment or lay-off of the employees of Proton and/or its subsidiaries.
DRB-Hicom had issued an irrevocable standby letter of credit in the amount of RM38,731,224.35 representing 3% to the vendor, which is of course Khazanah. Mere formality now, before the official announcement.
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very eager to know what’s their plans for Proton… what kind of technology/ASSET DRB-Hicom has in their hand that can benefit proton? Hope DSZ to stay..
Not related comment from me
Many paultan follower have no ball/vag keep changing nickname to avoid being condem
A sad day for Lotus?
ah, ha… So, Lotus stays within Proton then? … Where does this leave their ‘World Domination’ sports car plan? … Very interesting times.
YES!! We will be having more affordable national Car soon.
So they will be keeping the Group Lotus for little while. Good news indeed.
keeping Lotus oso means pumping money into the company with no return for at least a few more years.Thats our tax payers money going into a company thats so far only came up with concepts.Lotus should be cut off
I could do with 1.2 billion in my pocket, even if 1% would also be fine
It’d be an interesting year for P1
you think they will lower price? they will milk you to dry! see when robert sugar sold? what happened? Sugar price jump 20 cents!! dont be so naive.
The cronnies are milky all your money to their pocket instead of giving back to the rakyat!
High time government for government to do away with protection against Proton.
i agree.cut the taxes on cars.make our market open so that with more competition will force proton to do better in order to survive.charge roadtax based on emission rather than engine capacity,the cleaner the emission the lower the roadtax.then tell me G wants to cut fuel subsidy,i dun mind.
If this goes through, let’s hope for a VW-Proton collaboration!
Cool~~
Looks like BN is preparing for GE13, just in case they lose GE13, they still have the opportunity to milk the rakyat dry. So many hanky panky contracts signed before GE12.
Proton needs a passionate investor, someone who loves building great cars. Not a corporate with the intention of making more money.
I don’t mind if their intention is to make more money, more importantly making more money not at the expense of the rakyat’s livelihood with the substandard death traps they crap out.
BN GE13 war chest! Another NAZA in the pipeline.
if you know who are the GROUPs involved…:) from Johor ship, to Sugar from Robert, and now to Car…Cronies viva!!
Cronies old issue how about…DAP leader choose cronies also ma…???
So if im businessman better i took my own family than other…ma..
Why u so jealous with DRB i think it good for Malaysian..
If proton passes to foreigner ???? u also condemn ma….
Dont be hypocrite….friend reality this is MALAYSIA not SINGAPORE Ma….
Robert kouk rich more than 4decade …Boon Siew cronies of LIM KITSIANG also already rich ma… No need to raise crony …..better tio develop more car for high scale n up to international standard..stop the politicking..
Ur talk like Anwar Brahim bro…!!!!
which corporation have intention to make less money? … people dont buy great cars, people buy cheap and affordable cars.
People don’t buy great cars? Wrong!!! People buy cheap and affordable great cars!!
Agree. We need more people who loves making and building great cars..
what will happen after 2 years? can some one with corporate knowledge make a comment?
Maybe another world crisis in 2 yrs time….
they predict apocalypse will be this year…
so, why bother for next 2 years?
haha
merc-honda dna soon?
Please someone tell me what is this? I can’t understand it.
It means here comes Proton Passat and Proton Jetta. I’m hoping for Proton Sharan.
…..and Proton Golf R too…
ten years ago drb already bought proton,it was a mess and govt took it back..
potong golf / polo r3……. :-D
it means if u are now working with proton, better ask for VSS asap.
This is stupid. Proton was born under HICOM. Then DRB came in and bought HICOM. Then separated. Then rejoin. This is stupid. Apart from VW joint venture, what is so good about DRB HICOM? EON? Modenas? AirAsia before Tony Fernandez bought? Plants in Pekan? Maybe Audi….jual kereta bolehlah….apart from that…kaput….kasihan Proton….kasihan…DRB HICOM sucks…..dah lah beli murah gila ….khazanah dulu beli more than RM 8….damn…something is wrong here…very fishy….
hopefully the good thing could be VW to turn Tanjung Malim factory into Asean hub for VW production, the DRB plan in Pekan is unable to support more than 50K VW production…but Tanjung Malim definitely can offer that…maybe that is why there is still no localized VW from Pekan yet…maybe DRB HICOM pushed Khazanah urgently because of the pressure from VW…maybe this is why Khazanah sold Proton…
khazanah want to invest in Iskandar and Singapore, Malaysia-Singapore JV between Khazanah and Temasek. they need lots of money to build MRT and develop land there. maybe they have been trying to sell proton for some time now.. maybe since VW thing.
how can you sell something valued at RM5+ (in bursa malaysia) at RM8? you sell things at current market regardless of the previous purchase price. do you sell 2nd hand cars based on the original brand-new price? or do you sell house based on your original price? if the value increased, you untung. if value drop, you rugi. that’s normal in stock broking… depend on your luck la :)
It’s common practice to give some premium to the previous owner as a form of incentive in mergers and acquisitions (M&A). If you own something that is profitable and valuable, you wouldn’t want to let it go easily. You would want to command more, as there are opportunity costs to forgo. You would command a premium which can equal or surpass these opportunity costs.
The opportunity costs would be Tanjung Malim plant and the very promising P3-21A. As we heard earlier, TM plant (oh God, it’s got the same acronym with an infamous ex-CEO who ruined Proton) is heavily under-utilised. It puzzles me why it is so hard for either Proton execs or Khazanah or both to let it be used by someone else. For now, we hear Mitsu, VW, GM seem interested in it, MOU here, MOU there, early stage of talk here, early stage of talk there. The Germans seem to be the favourite as DRB has their interest in it. If it do happens, there will surely be criticism to Khazanah for not making smart business decision to let half of TM plant collect dust all these years.
And of course, the P3-21A. With CFE turbo engine, efficient CVT, 6 airbags, ESP (?), 5-star EURO NCAP, start-stop button, paddle shifter, soft plastic interior, chrome logo on steering wheel, teh tarik hook (?), ISOFIX (?), all for a speculated RM74k price range? And being a global car, just imagine how many countries it can go to, will it finally be the Proton to achieve the mythical “economies of scale” figure, after all the previous models being said to be priced high due to insufficient volume to achieve economies of scale?
Protong being bought over by DRB, still can talk crap and hope.
My question to you guys, have you guys tender in for VSS (if there’s ever one)?
Haha, I don’t think your new boss (DRB) will want cybertroopers playing hoax and myths about Protong in the internet.
Better open up Jobstreet.com and find yourself a new job. To Protong staff, welcome to the real world of no protection. Work hard and work smart. Same like the rest of us.
i dun tink hicom wanted to buy proton. it was a forced decision by tun as he is not happy with the management of proton. in short, who wants to buy a bankrupt co?
The first model for proton under DRB HICOM is a truck: Proton Perkasa
Soon proton will be manufacturing Proton Perkasa trucks~
Since DRB – Hicom has bought over Proton.. Just rebadge this Polo to be 2013 Saga and price it at RM 40K ++.. I believe it will overturn MYVi’s long success sales result.. Proton will be number 1 again!
Malaysia Boleh!
The G just privatise the cash cow to their cronies. The Syed will be richer.
Proton Passat will be next. (sorry VW buyers), and Protong back to the re-badge day forever…
Syed will be richer? He is just an employee. He doesn’t own Proton
danny, can you predict what’s gonna happen to hicom and proton? will this benefits us(malaysian)?
Proton Pasar, as Passat is copyrighted by VW…
potong pasang……… :-D
Good VW can eat your pie this round!!! hehe
Don’t expect any change in the near to mid term… this is just a change in shareholding, DRB HICOM is probably eyeing Proton’s assets eg its manufacturing plants, distribution network than its car business.
With no direct management control, VW is not going to share its technology.. DRB may just lease Proton’s plant for VW to assemble its cars here.
DRB offered P1 Rm5.5 for the rest of the 50+% shares.
Very good indeed! A sampah company that produces cars fit for third world only now being bought by a crony. Way to keep shortchanging the Malaysians. Keep it up! By the way, P1 fanboys always bash P2 because they say P2 rebadge Toyota cars. What happens with Inspira? Tak berani komen ka? Sampah will always go for sampah!
At least better than pornstar…sold body for money n no morallity at all
At least P1 TRY to make their own body+engine n manage to get China car company to rebadge proton car…
your comment suit your nickname, Porno…
Guess thats why ur name is pornstar if thats the way u think. Sampah pun at least they are a malaysian company and as a malaysian u should be proud of having a malaysian car company producing cars.. U want 2 be like thailand or indon? At least proton as “sampah” ad it is is doing well for itself.. Good job proton, keep ir up..
So, if a Malaysian company produces sampah, the Malaysian public should endorse it because it is Malaysian? Wow! Really developed country mentality. We should be getting our money’s worth and not be shortchanged by politicians wanting to make a quick buck at the expense of the Malaysian consumers. Design engine not fuel economy, design flaw everywhere. Power window like taik! Give 10 years warranty but limited to 250000km and must service at P1 SC. P1 sell cars at other countries with better specs but with cheaper price. So, Malaysians should just accept that? Fanboys sampah boleh la P1 kelentong.
Where the hell these Sampah fanboys and Sampah keyboard warriors? No comeback ka? Berani criticize my nickname only but not dare enough to debate the issues I brought up. typical sampah!!!
Hey, I am your friend. I want to buy your kilang. I wish to borrow money from you to buy your kilang ……..
3 years later ………
EON – PROTON merger?
Until the day Proton starts to make decent looking cars with good quality and have reasonable pricing…I don’t think anyone should get over excited over this. Calm down people ;)
Turning money for other uses like election buy out n etc. If lost it will make he’ll for governing party
You think Syed Mokhtar will make proton more efficient? Don’t be naiive. He will continue to hide behind government protection policy and milk the rakyat dry!
Nothing will change! As some commentor said, DRB bought Proton once than sold it. Now bought it back? And at cheaper price? Later Gov bought it back with higher price! …saying DRB cannot manage it. hahaha. and the cycle cont. And who get the profit…I think you all know
yes…Like like like like…..They choose the best new owner…
Proton would be better…:)
proton: this is our design for the next model
drb hicom: damn no! u must use our design! ur original design too futuristic…we must produce very ‘good’ car like the historical ‘proton tiara’…for VW rebadge model we will discuss later…
proton: ……err….ok boss ~~~~sigh
After all, are we going to see sort of ‘PROTON TIARA’ again?…made from Pekan factory…
what will happen to mitsubishi brand since drbhicom owns mitsu distribution.
wowwww!!!
so many talented business experties@fortuneteller here…this is good for our country…
Hikayat Cik Proton Binti Mahathir
A long, long time ago, Mama HICOM gave birth to a girl named Cik Proton. Even when she was a lass, Mama HICOM married Cik Proton to Mr. Mitsubishi. They never had a real baby, but Cik Proton kept adopting Mr. Mitsubishi sons.
As she grow older, Mama HICOM accepted Papa DRB proposal and get married. This is when the problem started when Papa DRB asked Cik Proton to adopt a spendthrift, albeit bankrupt but charming English Lad named Boy Lotus. But that’s not all, the step father Mr. DRB wants Proton to have adopt another French Chap named Citroen. From this messy arrangement, Tiara was adopted. She was an ugly girl. Ashamed, Cik Proton denounced Tiara. Her stepfather was angry and tried to rap* Cik Proton again and again. As Papa DRB became insolvent due to bad gambling debt, the stepfather sold Cik Proton as a ho*ker to Mr. Petronas and then to Khazanah.
After 16 years old marriage, Mr. Mitsu forced Cik Proton to conceived the second ugly son named Juara. At that time, Cik Proton already have a first son named Waja. Because Waja was borne from an unhealthy relationship with her adopted son, Lotus, Waja was an OKU. He kept having problems physically.
Angry with having an ill gotten stepson, Mr. Mitsubishi divorced Cik Proton with Talak 3. Cik Proton was left alone, selling nasi lemak to feed her growing children, Waja, Gen-2, Savvy, and Neo. Sadly, all four are OKU. As time goes by, Cik Proton hired a Doctor called Dr. LG to advise her fifth pregnancy. Thank god, the fifth child was a normal kid. The kid was called Saga BLM. Later, better kids arrived in the family and they are named Persona and Exora.
In Japan, Cik Proton Ex-Husband has been doing badly as a rally driver. He kept on losing in WRC and also not having huge success with his son Lancer. Mr. Mitsu suddenly thought of her ex wife and tried to win her heart again. They went to Mahkamah Syariah and since Lotus is already a Cina Buta, Mr. Mitsu was told he can rujuk back with Cik Proton.
Out of the blue, A german lad named Mr. VW has been eyeing Cik Proton prized asset in Perak for many years now. He tried to ask for Cik Proton’s hand but Cik Proton refused. So Mr. VW tried the backdoor and met Mama HICOM and Big Pimping Papa DRB. Papa DRB went to the night club and try to repurchase Cik Proton from Khazanah. Khazanah asked for the same amount of price they have paid to Petronas, but Papa DRB said he can only come out with 2/3 of the money. Nonetheless, he said he got a handsome German boy ready to spank Cik Proton’s behind.
After a hasty negotiation, DRB-HICOM roped in Cik Proton to be ‘serviced’ to Mr. VW since Mr. VW is a cash rich businessman. And they live happily ever after (yeah right…)
tl;dr
just joking, thanks for the history lesson
who is Dr LG?
Some say the BLM is designed by LG design
auto story tellling competition?
PaulTan, you have to organize this…
I’m can read only… cannot change the world ..my ooo my…
After 2 years Syed will sell it to the highest bidder, it could be a foreigner. Smart.
Looks like Dr Mamak worried Protongkat cannot survive open competition if Pakatan take over soon. So, must take Protongkat become private crony as fast as possible.
It’ll make the people even more piss off to buy any Protongkat cars (which is good).
Never undermine the consumer power, look what happen to Gardenia breads now.
Anyway let us enjoy the bleeding death of Protongkat soon…if Khazanah cannot tahan, then no crony can waste cash even more…close down Protongkat close down…
Not to burst your bubble bro.. But even if Protongkat closes down, there will not be cheap cars for the rakyat. The prices will remain and even worst, P2 might jack up the prices since no competitor.
Reason why the car won’t be cheaper:
Case study,
1) You buy Vios today at Rm70k.
2) 1 month later, I buy Vios at Rm50k.
I bet you will rage.. think of how much money you own to bank and sudden drop of car price (you are buying rm70k insurance for a rm50k vios and if you crash it at the time i buy, you’ll get rm50k only.)
sell to some share to outsider, it will bring proton to international. u need to sacrifice =]
Sell Proton to Tony Fernandes!
so then everyone can have a car… feels sad seing lots of mum holding thier baby riding kapcai ..with a son in between the father
if sell to tony, there must be a new tagline: “now everyone can drive”
AA business module of ‘affordable’ selling car: Body only RM5K (anti-rust not included), Engine RM10K (inc. wiring/piping etc.) door RM250/door, Seat RM150/seat (Optional Bovine Leather RM500/seat), Steering RM25 (optional MOMO RM500), Tyre RM120/piece (china made), window RM500 (power window not included), solid paint (RM500 single layer, add RM500 metallic paint), ICE RMxxx (depending on package) HEHEHE!