KUALA LUMPUR: Malton Bhd has entered a memorandum of understanding (MoU) to acquire equity interest in Ho Wah Genting Bhd's subsidiary HWGB EV Sdn Bhd.
The property developer said in a filing with Bursa Malaysia that the MoU with Ho Wah Genting and HWGB EV is to explore a potential investment in HWGB EV through the acquisition of 14% equity interest in the company.
According to Malton, it plans to invest in HWGB EV's future business of manufacturing, assembling and distributing electric vehicles in Malaysia.
"The MoU enables Malton to have access to further information in relation to the EV Project and to conduct its own internal assessment and feasibility study on the viability of investing in HWGB EV," it said.
The MoU shall be in force for 12 months from the date of the agreement.
HWGB EV had recently said it would assemble the Seiyong S1 battery electric vehicle in Malaysia. The S1 is a four-seat hatchback that Seiyong Motor of Beijing had started selling in its home market in December 2019.
The S1 has a range of around 300km and uses a 31.9 kWh lithium-ion battery that powers an electric motor producing 35kw/47hp and 150Nm of torque. Top speed is 110kph.
HWGB EV is expected to announce more details on the local assembly of the S1 in due course.
