Mitsubishi Motors To Form Chinese Partnership With Guangzhou Automobile Group

Nov. 9, 2010 - PRLog -- Mitsubishi Motors Corporation (MMC) and Guangzhou Automobile Group Co., Ltd. (GAC Group), each holding a 14.59% and 29.0% stake in GAC Changfeng Motor Co., Ltd. (GAC Changfeng) respectively, have signed a Memorandum of Understanding (MOU) to make GAC Changfeng into a new limited partnership corporation (new joint venture) owned 50% each by MMC and GAC Group.

Based on the MOU, both MMC and GAC Group will proceed to deliberate on new model cars to be introduced, action plans, and production capacity plans, aiming to make the new joint venture company a base for collaborative business in China.

Moving forward, in order to make GAC Changfeng into the new joint venture, GAC Group plans to delist GAC Changfeng from the Shanghai Stock Exchange, and will begin delisting procedures.

The new joint venture is slated to begin operations after a share transfer agreement, joint venture agreement, and related agreements are signed, and permission and authorization is granted by relevant authorities.

GAC Group is one of the main players in the Chinese automobile industry, and is the largest car company in the Huanan region. It is well known within the industry for its high profitability.

MMC, a Japanese car maker, has a long history of operating in China and it aims to further strengthen its Chinese business through the building of the collaborative relationship with GAC Group.

For further information, contact:
Lenore Fletcher, Head of Corporate Communications
Telephone: (08) 8275 2348
E-mail: lfletcher@mmal.com.au
www.mitsubishi-motors.com.au


Caitlin Beale, Manager of Corporate Communications
Telephone: (08) 8275 7250
E-mail: cbeale@mmal.com.au  


--ABOUT MITSUBISHI--
Mitsubishi Motors Australia is part of the global Mitsubishi Motors organisation and is fully owned by Mitsubishi, one of the world's largest companies.  

The company's history dates back to 1870, when Mitsubishi's Japanese founder, Yataro Iwasaki, started a shipping company with three steamships. The company grew from strength to strength and, in 1914, registered the Mitsubishi three-diamond trademark. This symbol embodies more than 130 years of tradition, and has earned the confidence and trust of customers all over the world.  

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