Global News

27 March 2008

Suzuki Motor Corporation takes stake in Suzuki Malaysia Automobile

Suzuki Motor Corporation (SMC) has taken a step toward stronger automobile sales in Malaysia by acquiring an interest in the national distributor, Suzuki Malaysia Automobile Sdn. Bhd. (SMA).

SMA was established in December 2004 as a completely owned subsidiary of Malaysian conglomerate DRB-HICOM Bhd. to import and market Suzuki automobiles. It began selling Suzuki automobiles in Malaysia in May 2005 as an authorized distributor.

With a view to developing and promoting the sale of Suzuki automobiles in Malaysia, SMC, Itochu Corporation, and DRB-HICOM Bhd. have entered into a joint-venture agreement whereby SMC and Itochu Corporation have invested in SMA by purchasing new ordinary shares. SMC has invested 14 million ringgit (about ¥448 million) for a 40% stake in SMA. Itochu Corporation has acquired a 20% stake, and DRB-HICOM Bhd. has retained a 40% interest.

SMA sources Suzuki vehicles from Japan. It imports and sells the Swift on a complete-knockdown basis and the Grand Vitara and SX4 as complete built-up vehicles.

Suzuki Malaysia Automobile Sdn. Bhd. overview

Company name: Suzuki Malaysia Automobile Sdn. Bhd.
Location:  Selangor, Malaysia
Capital: 35 million ringgit (about ¥1.12 billion)
Shareholders: Suzuki Motor Corporation (40%); DRB-HICOM (40%); Itochu Corporation (20%)
Date of establishment: December 2004
Models handled:  Swift; Grand Vitara; SX4
Number of dealers: 30 within 2008 (planned total)
Sales volume:  About 8,000 units in 2008 (target)