It looks like the battle for Khazanah Nasional Bhd 42.7% stake in Proton has had its winner. Trading of the national car maker’s shares, as well as those from DRB-Hicom Bhd, have been suspended from 9am to 5pm today pending an announcement. The companies did not give details in a filing to Bursa.
DRB-Hicom asked for a suspension in trading, saying the company will be proposing a corporate exercise involving a very substantial transaction.
Reports surfaced last week saying that Government investment arm Khazanah will announce today that DRB-Hicom has won the bid to acquire its stake in Proton, with the transaction said to be at RM6 a share or total of RM1.4 billion.
Other confirmed parties bidding for the Proton stake were the Naza Group and Proton chairman Datuk Mohd Nadzmi Mohd Salleh. The press and/or analysts roped in UMW and even Tan Chong into the party, but both companies denied any invitation to bid and involvement in the sale.
Last Friday, Proton shares closed at RM5.18 and DRB-Hicom’s at RM2.17. Minority shareholders and speculators are waiting to profit from a general offer for their shares, expected to be coming soon.
this will make EON the main distributor for Proton again.
and Proton Edar… perhaps, become the step child.
By changing hand to DRB-Hicom, what P1 will get? Fresh investment from Tan Sri Syed Mokhtar Al-Bukhary? I dont see much to benefit P1 in term of technical or technology transfer but rather just more $$$ involved in changing hands & maybe more advantage for DRB-Hicom to assembly their CKD/CBU cars in P1 Tanjung Malim plant?
what technology does Proton need? They already have state of the art handling that even Nissan also dun have, that turbo MPV that is set to change the automotive landscape of Malaysia.
Anyway, why they were sold in the first place?
Khazanah Nasional is pulling out to as to prevent more losses, it must be.
khazanah the government arm is getting shorter..khazanah have no money la…all raped by current government
I believe Syed Mokhtar hv something in his mind.
Buy at RM5.5, Sell at RM8.
i believe Syed Mokhtar just hit the jackpot
It is great that DRB-Hicom is given the opportunity to lead Proton. My concern now is the huge influence of Tun Mahathir in Proton due to his position as the ‘adviser’ to Proton, up to the point that he is able to dictate the strategic direction of the company. My personal opinion is that this huge corporate exercise is a total waste of time, energy and definitely money IF the top management at DRB-HICOM is not given the personal mandate by Tun Mahathir to perform WHATEVER it is that is necessary to take Proton to the next level and remain relevant in the highly competitive automotive industry.
Agree with AG…with mahatir still in the picture…all will go to crap
so much hope for proton to go ahead with what that’ve done so far..
all unite under drb hicom, I hope for the better future
i think DRB will sell it in near future for tons of profit…GM possibly?
The world of corporate is way beyond my imaginary, just can hope for the best at this moment. Full of dragon, crocodile and shark as I’ve been told. Maybe those who in those world can enlighten us.
isn’t khazanah also own small equity in drb?
what’s the difference?
the different is… as u said “small equity”
Proton shares closed at RM5.18 and DRB-Hicom’s at RM2.17 …..
going up>>>>>>>>>^^^^^^^^^^^^^^^ soon
why bother to acquire a company that only able to sell it’s product in M’sia, furthermore m’sia is well known for leakage in it’s account.
how come you know?
you are one of the leakage agent?
merger of two syarikat kurang upaya..?
walaupun kurang upaya,
u masih tak mampu nak beli that 1.4billion ringgit of share…
There’s another possibility with this merger. It could be that DRB buys Protong and sell it to Milo Corporation. That’s not a bad idea after all. Can convert TG Malim into the biggest Tin Milo assembly plant in the world!
Hip hip hooray!
who know is will become a big player one day?
anyway are you working in a “sihat” company?
the winner has just been announced..
unfortunately, the khazanah ‘wizards’ who are mandated to hold strategic assets of the nation and drive it forward for economic development for the long term were all schooled by wall street….
it is just plain $$$$ that they look at…all this development, strategic stuff is maybe too difficult and time-consuming for them
so they think its better for them to own hotels, property, banks, theme parks etc. these are more tradeable and liquidated…
and anything that is open to any sort of global competition, well…that is too challenging for the wall street bozos..
well said, they are just a bunch of investment analyst who have no real world operation experience ; )
This is definitely a smart investment by DRB-Hicom.
1) Good assembly factory -> more contracts from world wide manufacturer (since they are assembling VWs)
2) Buy at RM5.5, sell at RM8 to VW (or other companies)?
But on to P1.. I dun think DRB will contribute much.. hahaha
probably smart move by drb.
but as you just said, it just ‘assemble’…
and make money by selling what you have just bought to a higher bidder..
so is that it?
any clues to wat technology p1 will acquire from this exercise? hopefully new mgmt can bring abt even better products for consumers, like EV and small cc NAE turbo n superchargered. get better tech transfer, with backing from lotus in ride n handling, p1 can get real good built quality to match European makes… then again, we just hv to wait n c wat comes out from this exercise. hopefuli it is not just right pocket goes to left pocket and consumers dun get anything beneficial out of it
KUALA LUMPUR 16 Jan. – Khazanah Nasional Bhd. akan melupuskan pegangannya sebanyak 42.74 peratus di dalam Proton Holdings Bhd. kepada DRB-Hicom Bhd. menerusi jualan bersyarat pada harga pertimbangan RM5.50 sesaham atau RM1.291 bilion. –
DRB HICOM THE WINNER
bagus..so pasni tidak ada halangan lagi utk DSZ untuk bwa P1 pergi lbh jauh. sbb sblm ni ada je halangan drp org ‘dalam’ pemegang saham terbesar P1.
Sadly… it falls again for the 2ND TIME to DRB. Welcome back Proton Tiara!!!
Maybe this is the Gomen escape plan to finally sell it to VW so that the rakyat wont be too angry, therefore saving some votes for the upcoming GE.
how old are you lah brother.. things changed already lah…. doesnt make sense at all.. give good things said GE lah.. doesnt give anything also bising…. and at 431pm you have not done anything but reading PT blog… aduhainyer pun… 2×5 jer sama
Oho…so you must be a taxi moving around the whole day but at 5.14 stuck in traffic jam…
Proton Tiara is a good car for low income people / family use for daily “transporter” its not an icon car so it doesnt sell like a waffer in malaysia
Bila P1 bawah Khazanah, korang kata perabih duit rakyat…
ni DRB da beli P1, korang still komplen lagi..
pasni musti suruh P1 bankrupt sbb nak kete murah drp luar..
tp korang jangan harap la dpt kereta murah drp luar kalo P1 bungkus sekali pun..
dan jangan harap dpt kereta murah walau gov bertukar sekali pun..
Yup, I x harap kereta murah atau apa-apa.
I hope for way less corruption only. But, ini off topic. Down vote u to the max!
Oh ok, so another UMNO Putra company takes over….
So what’s the difference there?
Does this mean the government not own Proton anymore? Does this mean there will be fair playing field for Proton to compete with foreign car maker?
i think not… Playing field is governed by the policy…
This is the ownership of a company only…
adoi… thats the problem about malaysian people dont want to know what is happening.. 2016 market will be liberalization … the move for khazanah to sell the share is to ensure PROTON will survive on their own.. no more ill illiterate people saying proton being protected by gov….. you’ll see in 2016 if your own company can survive if everything coming to our country… why hired malaysian people to work when we can get cheaper and even better worker for less what we are paying to malaysian…
if that what we all want… then batter plan how to survive.. we have 4 more years…good luck
Case when
Yes = P1 Saga will be 60k instead of 45k
No = foreign on the road car price will still remain, the one tat will hav a fatter pocket is the distributor.
Pick your poison.
But I reckon the bigger question is whether this would mean cheaper non-national cars and reduction of the ridiculous duties we have been accustomed to. Tapi apa nak di kato…… Wishful thinking la…. Kroni ke tak kroni we tak kisah, so long as we jangan diperbodohkan.
I’m just wondering, is there anything gonna do with Volkswagen?
Since they cannot own it directly, then own it indirectly laa…
For mere RM1.291B? Even at USD1.291B value of Proton is too cheap! Proton already injected RM2B to low volume niche manufacturer Lotus, spent hundreds mullions to produce P3-21A, P3-22A etc only to Al-Bukhary’s DRB to enjoy our Proton investment, R&D? The loss making Lotus was projected to turn around in 2013-2014. Lotus too could easily sell for RM1B once the period of two years expired. The value of Shah Alam plant also more than RM500m (too conservative figure) once the LANs redevelop for property project.
For me Khazanah shoul sell their stake to the highest bidder, local or foreigner alike rather than to very diversified DRB or al-Bukhary. I don’t mind at all if Tony Fernandez, Toyota, VW AG or anyone as long as the decision will benefit rakyat.
DRB’s slightly better than Chairman Nadzmi’s proposal. If l were Al-Bukhary, l’ll sell Proton land banks in Shah Alam more than enough to benefit from this deal. After two years this fellow will sell Proton or part of Proton’s plant in Tg Malim
well they buy proton including hutang….fair enough
whatever la the decision………
I wont buy a proton…
I rather buy second car, as long as its not proton…..Too dissapointed with everything with a proton name…….
whatever la the decision…
it is your money u talking about… who the hell cares…
well, YOU are one that answered…..you are the one the cares, like hell…
hahahahahaha, so silly you….
why everyone speaks as this is their buying?
it is syed mokhtar al bukhary who become the boss…
Hopefully, all will turn out good with Proton scalling to greater heights like Hyundai & Kia as these two marques have evolved drastically over the years and being sold worldwide in huge volumes. And probably one day we can see Proton being used in some good movies like Kia being used in the movie Nikita.
Just some concern if this Syed Bukhary is taking more than he can chew. Already having such a big conglomerate. Hope it does not turn out to be another Renong when there is a financial crisis.
I think diversified business is gud thing….