Geely May Invest $1.9 Billion Into Lotus, Increase Its Stake In The Automaker

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It’s been nearly eight years since Lotus announced plans to introduce six new models including the Esprit, Elite, Elan and Eterne. That bold plan never panned out and that was largely due to a lack of resources.

A lot of things have changed since the 2010 Paris Motor Show and one of the most important is that Geely now owns a controlling stake in Lotus. The company has spent more than $11 (£8.5 / €9.5) billion to revive Volvo and now it looks like it is Lotus’ turn.

Bloomberg is reporting Geely is considering investing at least $1.9 (£1.5 / €1.6) billion into Lotus to transform the company into a “luxury nameplate that competes with Porsche and Ferrari.” The report says the money would be used to hire 200 new engineers, build a new factory and construct a design and innovation center.

The investment would also pave the way for an assortment of new and redesigned models, but there’s no word on specifics. However, Geely did tell the publication it is “fully committed to restoring Lotus into being a leading global luxury brand.”

That isn’t much to go on, but former Lotus CEO Jean-Marc Gales has said the company is planning to launch two new models in 2020. Back in May, the former executive suggested one of the cars would sit above the Evora and have “efficiency, aerodynamics, agility and braking working together in balance.” Lotus is also said to be working on two crossovers that will compete with BMW X4 and X6.

Aside from the investment, Bloomberg reported that Geely wants to increase its stake in Lotus. As a result, the company is holding talks with Etika Automotive which has a minority stake in the automaker.

Read more: carscoops.com

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