GM wants Proton & Lotus?

[HeilSvenska]

GM set to submit bid next week January 13 2007 GENERAL Motors Corp (GM), the world's biggest carmaker, plans to submit a bid for Proton Holdings Bhd next week, to meet an informal deadline for all proposals on the national carmaker to be in by the middle of this month, sources familiar with GM's operations here said yesterday. Sources told Business Times that GM, or partners acting in concert with it, is prepared to offer as much as RM10 a share for Proton, provided the US carmaker is given control of the finances of Proton and manages its vendor system. The offer is about RM20 lower than what the US carmaker was prepared to offer for a 30 per cent stake in Proton in 1998, another source said. Proton at that time was the dominant player in the Malaysian car market, which is South-East Asia's largest passenger car market. Since then, its fortunes have come under pressure. Perusahaan Otomobil Kedua Sdn Bhd (Perodua), the country's second national carmaker, has led vehicle registrations every month since at least March last year, the Malaysian Automotive Association said in October, while Proton's fiscal second quarter loss widened as sales sank to their lowest in seven years. Proton's net loss was RM250.3 million in the three months to September 30 compared with a loss of RM154.3 million a year earlier. Its cash shrank to RM410.53 million as at September 30 2006 from RM975.83 million in the previous corresponding period, its latest quarterly accounts showed. At its peak in 2003, Proton had cash and cash equivalents of RM3.79 billion. According to the second source, GM's interest in Proton is twofold: to participate with Group Lotus and to use Malaysia as a lower-cost centre to develop car parts for GM's plants worldwide. GM has already committed to buy as much as US$1 billion (RM3.52 billion) of car parts from India from next year as it seeks to lower costs. Proton acquired an 80 per cent controlling stake in Group Lotus in October 1996. The company produces high-performance sports cars and provides automotive engineering consultancy services.

-Business Times

[bmwmpower]

no, lotus is doing well these days, will do better without gm

[bmwmpower]

Originally Posted by bmw06m6 Originally Posted by bmwmpower no, lotus is doing well these days, will do better without gm I wouldn't say "doing well", the latest Europa is a piece of overpriced junk, and the sales have become fairly flat, they just need a boast and I don't think Proton can provide what they need. I don't think GM is their aliment either.

europa is not junk, yes is overpriced but its still good car and in recent 10 years they had so many great models, so one wrong step is ok, lotus is in good hands,is indepedent almost

[TNT]

well imagine a elise with a supercharged or turbo ecotec motor...... 8)

but i think its more or less to help GM in cost cutting not into taking and chaning proton and lotus.

[HeilSvenska]

well imagine a elise with a supercharged or turbo ecotec motor......

It's called the VX220 Turbo

[TopGearNL]

GM really needs a brand like lotus I think, but I wouldn't like to see it happen.

Although they are owned by Proton who makes shitty cars, Lotus cars have never been this cool! I love Exige!

[McLaren4eVa]

^^^^ Are you craizzy(said in a scottish accent). Lotus is fine how it is. The americens will just make them fatter. How many americans can fit in the elise.

[HeilSvenska]

2.

[TopGearNL]

Originally Posted by McLaren4eVa ^^^^ Are you craizzy(said in a scottish accent). Lotus is fine how it is. The americens will just make them fatter. How many americans can fit in the elise.

Uh read my comment clearly and I said that I wouldn't like to see it happen? :roll:

[mevistox5]

Since the recent management swap carlovers are back in charge at Lotus. Hence all the nice plans for a 2+2 (codename Eagle) to arrive in 2008 and the new Esprit in 2009. The Europa was signed off under old management.

As I understand now Lotus sales of the Elise and the Exige are flatening out, esp. in the US and the UK. There are still a lot of 2006 cars on the dealers lot. So Lotus downsized production and is trying to find new manufactering business:Tesla elctric car. Lotus Engineering has been proven to be very valueable for Lotus. They have a very good reputation in the car business. This is one of the reason Proton have declined earlier offers to sell Lotus.

The Europa is a difficult car for Lotus. The idea behind it was nice (new customer segment, low development costs), but it has proven difficult to attrack the new customers.

Nico

[McLaren4eVa]

Originally Posted by TopGearNL Originally Posted by McLaren4eVa ^^^^ Are you craizzy(said in a scottish accent). Lotus is fine how it is. The americens will just make them fatter. How many americans can fit in the elise. Uh read my comment clearly and I said that I wouldn't like to see it happen? :roll:

Whoops sorry guess it was to the first statement.

[graywolf624]

^^^^ Are you craizzy(said in a scottish accent). Lotus is fine how it is. The americens will just make them fatter. How many americans can fit in the elise.

Yeah like what happened the last time gm owned Lotus :roll:
Oh wait during that time they produced a improved version of the esprit and 90s elan.

[Mattk]

GM could always just buy Lotus off Proton, but Proton would never let it happen. Proton cars are rubbish, and their only car that can possibly be called decent (relative to competition) would be the Wira in the 90s. Proton would be a liability to GM.

[AlienDB7]

Originally Posted by Mattk GM could always just buy Lotus off Proton, but Proton would never let it happen. Proton cars are rubbish, and their only car that can possibly be called decent (relative to competition) would be the Wira in the 90s. Proton would be a liability to GM.

Or GM will simply replace all Proton cars with Daewoos? Consider how well GM is doing with Daewoo in the econobox market, they're probably trying to do the same with Proton.... :roll:

[HeilSvenska]

That's not a bad idea. Not a bad idea at all...