Korea’s SK Group invests US $ 2mn in Micro Holdings
SK Group, South Korea’s third largest diversified conglomerate, recently signed a memorandum of understanding (MOU) with Micro Holdings, to initiate an investment of US $ 2 million for mutual benefit, at a press conference held at the Micro Cars office, Colombo 8.
The two conglomerates initially formed a partnership in April last year and the international facilitator came onboard with Micro Holdings to make an equity investment of US $ 30-40 million to assist and strengthen its production facilities, industry-related clusters and new projects.
Providing economic and social opportunities and benefits that result in multiple positive effects such as better accessibility to markets, employment opportunities and infrastructure developments and also to the increased demand in the automobile industry in Sri Lanka, SK Group claims to have identified the potential for economic growth in Sri Lanka.the decision to further invest in the company was made after taking into consideration the greater potential Micro Group has in the automotive and real estate industries in Sri Lanka.
Further, according to Micro, after being taken on as the exclusive franchise for the MG brand earlier this year, the company has done significantly well in the market and within the span of a few months, the MG ZS SUV became the best-selling SUV in the local market.
Speaking at the event, Micro Holdings Chairman Dr. Lawrence Perera said, “Our main vision is to take Sri Lanka towards green energy, where SK is very strong in the manufacturing of electric car batteries. With their partnership and technology, Sri Lanka can gain a lot because the future is electric and the future is sustainable (green) energy. With that, we are planning very soon, with the support of SK, to introduce a compact electric car, of which details will be released soon.”
Dr. Perera further said that the booming construction industry that prevails in Sri Lanka would be further complemented by the expertise that SK has in the construction industry, along with the fact that Micro has been present in the property development sector for well over 15 years.
Not making any confirmations or clarifications on other future plans of the company, Dr. Perera said, “We, as a local car manufacturer, along with our Korean partner SK, are planning the next year and 2019 is no doubt going to be a big year for Micro Cars.”