Chinese automaker Geely to buy Lotus, acquire stake in Malaysian manufacturer Proton

KUALA LUMPUR: Chinese automaker Geely has agreed to buy a 49.9 percent stake in Malaysian manufacturer Proton, in a deal aimed at reviving the loss-making company.

Proton's owner DRB-Hicom said Wednesday that the deal involves Proton selling off its entire stake in British car manufacturer Lotus to Geely.

Geely, which controls Sweden's Volvo Car Group, will get a stronger presence in Southeast Asia.

Malaysia has been trying to resuscitate its formerly state-owned automaker for years. The company was privatized in 2012 but its market share dwindled to around 12 percent last year.

DRB-Hicom did not disclose financial details of the deal. It said the companies plan to sign a final agreement in July.