In an official statement, Cycle & Carriage Bintang (CCB) has announced that it will sell its entire 49% stake in Mercedes-Benz Malaysia (MBM) to Daimler AG. The move comes following Daimler’s decision to exercise its call option over CCB’s 66,003,000 shares in MBM for a consideration of RM66,003,000.

The share disposal process will be carried out 12 months from the exercise date of November 30, 2018. Once completed, CCB will no longer be entitled to the annual divided of approximately RM11.2 million from MBM, and cease to hold shares in MBM.

However, CCB stated that the deal will not impact any of its 13 Mercedes-Benz dealerships nationwide nor its operations. The company’s history with the Mercedes-Benz brand stretches back over 50 years, and acquired its 49% stake in MBM back in 2003.

“Cycle & Carriage Bintang would like to assure all our customers that the recent decision by Daimler AG to exercise their call option on the company’s holding in Mercedes-Benz Malaysia will not impact our commitment or ability to continue delivering exceptional experiences to our customers across our nationwide dealerships in Malaysia,” said Willfrid Foo, CEO of CCB.

“All dealerships will continue to provide you with quality sales and aftersales services in accordance with the strictest Mercedes-Benz quality standards supported by Mercedes-Benz Malaysia,” he continued.