Car maker Lotus in talks on sale to China, MP reveals
Published: 24th Apr 2012 22:45:57
The owners of sports car maker Lotus, which employs 1,200 staff, are in talks with a Chinese firm about a possible sale, an MP has revealed.
Richard Bacon MP has raised concerns a sale of the Norfolk-based firm could lead to jobs being moved to China.
Mr Bacon, South Norfolk MP, told the House of Commons consultancy firm KPMG "has been appointed with a mandate" to sell Group Lotus to the Chinese.
Lotus, which is owned by Proton, part of DRB-Hicom, has not commented.
Mr Bacon told the Commons it was "not an encouraging sign" and he was concerned at the "potential threat which exists to 1,200 local jobs".
His comments appear to contradict an earlier statement from Malaysian group DRB-Hircom, which said it had not decided to sell Lotus Group.
In a statement, it said it was still supporting Lotus Group "both financially and management-wise".
"As of today, DRB-Hicom has identified one of Proton's senior management personnel to take up a position in Lotus Group in an effort to strengthen its management," it said.
In his speech to the Commons, Mr Bacon said Prime Minister David Cameron spoke to the head of Proton, Dato' Sri Syed Zainal, during his recent trip to Malaysia.
Hours after that meeting, the head of Proton was "in China seeking a buyer for Group Lotus", Mr Bacon added.
"This has naturally caused immense worry and concern for the 1,200 employees at Group Lotus," he said.
"And it is unnecessary, because there are well-capitalised potential buyers of Group Lotus with a credible plan to keep the business and the jobs in the UK."
He add that one Chinese business, China Youngman, has had a commercial relationship with Lotus for many years.
At 15:59:15 in EnglandThe sentences given to three former care home workers who mistreated a resident will not be increased, the attorney general's office has said.
At 15:58:44 in SportDerby County's main summer signing George Thorne has been ruled out for up to nine months with a cruciate knee ligament injury.
At 15:58:13 in WalesA woman who stabbed a businessman in the neck in his car has been jailed for eight-and-a-half years.
At 15:53:07 in SportFormer Chelsea midfielder Frank Lampard has joined Major League Soccer side New York City FC on a two-year deal.
At 15:48:49 in EnglandA teenager from South Tyneside who died on a trip to Tanzania was "incredibly popular", his school said.
At 15:47:01 in BusinessBarclays has said it wants legal action alleging fraud in its US "dark pool" trading operations to be thrown out of court.
At 15:44:46 in EnglandAn amateur footballer has been jailed for 16 months for attacking a referee during a non-league match.
At 15:43:26 in WorldA California wine dealer found guilty in New York of manufacturing fake vintage bottles for illegal profit will be sentenced on Thursday.
At 15:43:18 in SportGuernsey's seventh-seed squash player Chris Simpson says he has "a lot of energy left" as he prepares for his second round match later on Thursday.
At 15:40:38 in EnglandA man has been found not guilty of the murder of a suspected gang boss who was shot dead in north London.
Harvard CitationBBC News, 2012. Car maker Lotus in talks on sale to China, MP reveals [Online] (Updated 24th Apr 2012)
Available at: http://www.ukwirednews.com/news/1424374/Car-maker-Lotus-in-talks-on-sale-to-China-MP-reveals [Accessed 24th Jul 2014]
News In Other Categories
A review of morning-after contraceptive pills has concluded they are suitable for heavier women.
Twitter has become the latest tech firm to admit that most of its staff members are men.
The UK government wants to scrap the formal community veto which allows local politicians to block a future £12bn nuclear waste repository.
Trade body Scottish Development International (SDI) has opened its first office in Africa.
The sentences given to three former care home workers who mistreated a resident will not be increased, the attorney general's office has said.
Barclays has said it wants legal action alleging fraud in its US "dark pool" trading operations to be thrown out of court.