SINGAPORE (July 8): MeGroup, the Malaysia-based car distributor, has won the rights to operate a Ford 3S automobile dealership.
This brings the total number of dealerships in the country the group has to eight, across five different automobile brands.
To be located in Bukit Rimau, Shah Alam, in the state of Selangor, the group expects the new Ford dealership to begin operations in the fourth quarter of the 2019 calendar year.
The dealership is expected to carry the Ranger, Raptor and Mustang models for sale.
MeGroup said the letter of appointment (LOA) came from Sime Darby Auto Connexion Sdn Bhd, the official distributor of Ford automobiles in Malaysia.
MeGroup has incorporated a new wholly-owned subsidiary, MN Otomart, under Menang Nusantara Holdings, to enter into the LOA with Sime Darby.
Jeffery Wong, Head of Group Expansion & Strategy and Head of Dealership of MeGroup, says: “We are excited to add Ford to our growing list of dealership brands, especially since we were just awarded our first Hyundai dealership not too long ago.”
The issued and paid-up capital of MN Otomart at incorporation is RM1.00 and this will be increased to RM1.0 million ($0.3 million).
The increase in paid-up capital will be funded by proceeds from the group’s IPO and is not expected to have any material impact on the group’s earnings for the financial year ending March 31, 2020.
Shares in MeGroup closed 0.5 cent higher at 18 cents on Monday.
