This article first appeared in The Edge Malaysia Weekly on November 15, 2021 - November 21, 2021
As the electric vehicle (EV) theme gains traction, more companies want to grab a share of the big pie.
Focus Dynamics Group Bhd and Permaju Industries Bhd are among the companies that have announced their EV-related moves recently. Their plan is to set up an EV showroom with charging facilities in The Arch, Jalan Tun Razak, Kuala Lumpur. More than 10 well-known luxury and premium EV brands such as Porsche, Tesla, Rivan, Mercedes-Benz, BMW and Jaguar are expected to be displayed at the showroom.
Do they need to secure the dealership for all these brands? And what is the estimated investment cost?
In their press release, Focus Dynamics and Permaju say they want to be the “Tesla of Asean”, with the next step being a planned venture into semi-knocked-down to manufacture EV motor vehicles in Malaysia in 2023. Discussions with potential Chinese manufacturers to form a strategic partnership are underway.
When the pandemic struck last year, Focus Dynamics and Permaju were part of the glove craze. Permaju had a deal with Anzo Holdings Bhd to manufacture gloves last year, but there has been no further update.
Meanwhile, Focus Dynamic has gained exposure in rubber glove manufacturing through its associate Green Ocean Corp Bhd.
The foray into the EV-related business may look good on the surface and create excitement in the market, but details remain scarce at the moment.
Permaju has been involved in the trading of motor vehicles besides the property development and timber plantation businesses. Will its experience and knowledge in the motor vehicles segment add value to this new business plan? Note that it has been loss-making since 2007.
Another question is the role of Focus Dynamics, which has seen its market value plunge below RM300 million from its peak of RM4 billion last year.
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