DRB-Hicom Bhd has completed the proposed share subscription of a 49.9 percent stake, or 547.02 million shares in Proton Holdings Bhd (PHB) by Zhejiang Geely Holding Group Co Ltd (Geely) for RM460.3 million.

In a filing to Bursa Malaysia today, DRB-Hicom said its equity interest in PHB has now been reduced to 50.1 percent, and the remaining 49.9 percent equity interest in PHB was now held by Geely International (Hong Kong) Ltd, a wholly-owned unit of Geely.

Meanwhile, Lotus Advance Technologies Sdn Bhd has ceased to be an effective wholly-owned unit of DRB-Hicom, it said.

DRB-Hicom said PHB has completed the proposed divestment of 51 percent issued shares in Lotus Advance Technologies and 51 percent preference shares in Lotus Cars Ltd to Geely.

PHB has also completed the proposed divestment of 49 percent issued shares in Lotus Advance Technologies and 49 per ent in Lotus Cars Preference shares to Etika Automotive Sdn Bhd, it said.

It said the proposed divestments by PHB of interests in Lotus Advance Technologies amounted to GBP100 million.

DRB-Hicom, Geely and Etika have agreed not to transfer the Lotus Cars preference shares to Geely and Etika respectively on the completion date pending further discussions between the parties, without any changes to the total sale consideration for the proposed divestment, it said.

Geely has nominated its wholly-owned unit, Geely International (Hong Kong) Ltd, to receive and hold the shares in PHB and Lotus Advance Technologies Sdn Bhd.

As at noon DRB- Hicom shares rose four sen to RM1.64.

- Bernama