Despite the messy Saab bankruptcy, GM’s reputation in the automotive world doesn’t seem to be tainted. New reports of Malaysian automaker Proton being in talks with General Motors have now been officially confirmed.
Brief: Proton in talks with GM over its under utilized Tanjung Malim plant. If the deal goes through, GM may invest up to $300 million in the SE Asian based car plant.
Proton General Motors talks now official
In response to a query from Bursa Malaysia (Malaysia’s Stock Exchange), Proton stated that they were in preliminary talks with the Detroit-based auto manufacturer:
“The Board of Directors of Proton Holdings Berhad wishes to inform that talks with GM are only at a preliminary stage and as such warrants no announcement at this point in time. Should there be further developments that warrant an announcement, the Company hereby undertakes to make necessary disclosure in accordance with the relevant requirements,” Proton told the stock exchange.
While the details of the talks remain unconfirmed, reports after the Volkswagen deal fell through suggested that Proton was in talks to sell half of its stakes in its underused Tanjung Malim plant to General Motors for around $800 million ringgit. If the deal does in fact follow through, GM could potentially invest around $300 million ringgit worth of equipment in the SE Asian facility.
