Berjaya Corporation (BCorp) has announced that it has sold its entire 51% stake of 6.12 million shares in Berjaya Auto Alliance (BAASB) to Bermaz Auto (BAuto) and other shareholders for RM6.67 million. The sale was announced via a statement issued by BCorp yesterday.
This means that BCorp is no longer involved in the Peugeot distributorship, which it secured with BAuto through the BAASB joint venture in December last year. Besides Peugeot, the deal also included the rights to provide after-sales and spare parts for Citroen and DS in the country.
Originally, BAuto had a 20% interest in BAASB, but the company announced that it had acquired an additional 35% stake in the venture as a result of the sale. BAuto is of course not directly affiliated with Berjaya – the current Mazda distributor was spun off after a management buyout in 2016. The company is also now representing Kia in the country, having inked a partnership agreement with the Korean automaker in April.
BCorp group CEO Jalil Rasheed said the company was in the process of transforming into a diversified consumer group with focused business verticals, and the divestment was part of the restructuring and rationalisation exercise to divest its non-core assets.
He said that BCorp recognised that it would be more synergistic for BAuto to acquire BAASB. “BAuto’s capabilities and expertise in the automotive industry has been proven by its tremendous success and impressive track record in running the Mazda business, and we are confident that it will be able to do well in replicating the same business success for Peugeot,” Jalil said.
The post Berjaya Corp sells off its 51% stake in Berjaya Auto – Peugeot distributorship now fully handled by Bermaz appeared first on Paul Tan's Automotive News.
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