Mitsubishi Motor Vehicle buys a stake in South East (Fujian) Motor

Mitsubishi Motor Vehicle buys a stake in South East (Fujian) Motor

Japanese automaker Mitsubishi Motor Vehicle has confirmed that they have acquired a stake in the South East (Fujian) Motor Co., Ltd. South East (Fujian) Motor is a major Chinese auto maker based in the eastern province of Fujian.

The deal would see Mitsubishi acquiring 20 percent of SEM shares this year. They would further increase their stake in the company to 25 percent next year.

However, the two companies have not disclosed on how much Mitsubishi has paid for this deal. SEM is already authorized to produce vehicles with the brand of Mitsubishi and this deal would bring to them access to the Mitsubishi’s expertise in making cars.

Mitsubishi is also very optimistic about the Chinese market, which is growing fast and expects SEM to help them expand their market share in the region.

The deal would see Fujian Auto Industrial keep its 50 percent shareholding in the company.