Volkswagen eyes 20 percent stake in troubled Proton: official

[pujiesss]

VOLKSWAGEN EYES 20 PERCENT STAKE IN TROUBLED PROTON : OFFICIALGerman auto giant Volkswagen is keen to take a 20 percent stake in loss-making carmaker Proton, an senior official said Thursday amid reports that talks will soon secure a partnership. "Volkswagen is eyeing a 20 percent stake (in Proton). That is what they want," the official familiar with the negotiations told AFP on condition of anonymity. The official said Proton and Volkswagen had their fourth round of talks in Bangkok two weeks ago and will be meeting again soon. Malaysia last week expressed optimism about securing a partnership with Volkswagen. "I can confirm that we have a good feeling about this," second finance minister Nor Mohamed Yakcop told reporters. Volkswagen said Friday that it will intensify talks with Malaysian authorities, a major shareholder in Proton, with a view towards a possible cooperation or shareholding in the passenger car maker. Prime Minister Abdullah Ahmad Badawi recently said Volkswagen was studying Proton for a possible strategic pact that would help save Malaysia's national carmaker. For Proton, a deal is expected to boost efforts to reclaim the top spot in Malaysia's domestic car market and help it get a foothold in the lucrative European market. Volkswagen hopes to strengthen its presence in the Southeast Asian region through the partnership. Nor Mohamed said previous talks had progressed well. "The talks are going well. It is good news," he said. Proton and Volkswagen had met for a fourth time in Bangkok. They had earlier met in Thailand, the United States and Germany. Malaysia hopes that the deal would be wrapped up by the end of the year. Proton needs foreign technical expertise to halt a sharp decline in market share and stem a stream of red ink, including a 46.75 million ringgit (13.40 million dollar) loss for the first quarter to June announced this week.

 

[berserkdroid]

Malaysia last week expressed optimism about securing a partnership with Volkswagen.

"I can confirm that we have a good feeling about this," second finance minister Nor Mohamed Yakcop told reporters.

Riiight, here we go again... :sleep:

 

[INNOVATOR]

I think the misconception in bolehland is the belief that everyone wants a stake in Proton, that Proton has an endliness line of suitors. So, I guess the deal with Vw is that a Malaysian gets to be Chancellor of Germany, and that VW re-badge their cars to Proton. Doesn't Proton mean a ton of Pros?

Its going to come to a stage where the auto companies will leave Proton to rot and then pick the company up for a song.

Aahhh the feelgood atmosphere - what else do we need?

 

[k3nny]

Proton.. The company that launched the Saga for 10k+ in the 80's.

Still selling the same design with no improvements for 30K+ now.

And VW wants in. No sh1t. Which other community is dumb enough to buy old sh1t and higher prices?