Malaysia's Cycle & Carriage, DaimlerChrysler Sign JV Deal

KUALA LUMPUR December 9, 2002; Dow Jones reported that Malaysia's Cycle & Carriage Bintang Bhd. said Monday it has signed a joint-venture agreement with Germany's DaimlerChrysler AG to distribute Mercedes-Benz vehicles in Malaysia.

The joint venture company will be named DaimlerChrysler Malaysia Sdn. Bhd. It will have an initial authorized and issued share capital of 134.7 million ringgit ($1=MYR3.80), consisting of 134.7 million shares at a par value of MYR1 each.

DaimlerChrysler will hold a 51% stake in the venture while the rest will be held by Cycle & Carriage.

Cycle & Carriage said it will finance its investment in the joint venture with internally generated funds.

Prior to the agreement, Cycle & Carriage was the sole distributor for Mercedes-Benz vehicles in Malaysia. The agreement allows DaimlerChrysler to achieve its goal of playing a more significant role in the distribution of its vehicles.