Geely considering £1.5 billion investment to boost Lotus

Lotus majority stakeholder poised to spend billions on British brand, according to sources

Lotus Exige Sport 410 - front

New Lotus controller Geely is preparing to invest over £1.5 billion on the British sports car brand as it aims to push Lotus to the front and centre of the sports car market once again. That's according to Bloomberg, citing sources familiar with the matter.

The Chinese car giant - which owns Volvo, Polestar, the London Taxi Company, Lynk & Co, Yuan Cheng Auto and has a 49.9 per cent stake in Proton - now also owns 51 per cent of the British brand after completing a deal last September.

Lynk & Co reveals production ready SUV at Shanghai Motor Show

Bloomberg says that Geely plans to build new Lotus production facilities and research centres in the UK, and that the the company is planning to buy itself an even larger stake in Lotus by purchasing more shares of Malaysian minority stakeholders Etika Automotive.

Bloomberg says that Geely is aiming to build itself into one of the automotive industry's biggest groups, and that its plans for Lotus could see the British brand revived and repositioned into a genuine Porsche competitor. Bloomberg also claims that the first phase of Geely's Lotus expansion will see around 200 new engineers hired and an expansion of the firm's current plant in Hethel, Norfolk.

Geely executive vice president and chief financial officer, Daniel Donghui Li, has been chairman of the new look Lotus board since the acquisition of the brand.

Last September, concluding the deal, Daniel Donghui Li said: “With the transaction completion we now look forward to working with our partners to develop the Lotus brand into a globally competitive brand and a well recognised leader in the sports car market.”

While news of fresh investment sounds exciting, Geely’s real desire to acquire Lotus could stem from the marque’s expertise in composite materials and lightweight construction methods. Geely sees this technology as transferable across the vehicles it sells in China. Lighter cars will help the brand meet stringent future emissions targets in its home Chinese market.

Is new Chinese ownership a good thing for Lotus? Let us know your thoughts in the comments.

Recommended

Future classics 2022: car investments that could make you money
Future classics - header image
Best cars & vans

Future classics 2022: car investments that could make you money

Identifying future classic cars is a tricky but potentially lucrative business, here are our future classic recommendations
23 May 2022
Lotus Advanced Performance teases modern day Can-Am racer
Lotus Can-Am
Lotus

Lotus Advanced Performance teases modern day Can-Am racer

It’ll be the first project for the new Lotus “special operations” division, which will build bespoke motorsport-ready performance vehicles
9 Feb 2022
New electric Lotus sports car set for 2026 launch
Lotus sports car teaser
Lotus

New electric Lotus sports car set for 2026 launch

A new tie-up with battery manufacturer Britishvolt will power the next generation of Lotus electric sports cars
28 Jan 2022
New Lotus Tech Creative Centre design studio to open in Warwickshire
Lotus design team
Lotus

New Lotus Tech Creative Centre design studio to open in Warwickshire

New Lotus Type 132 and 134 SUVs and Type 133 four-door will be designed at new UK studio
12 Jan 2022

Most Popular

New Toyota GR86 2022 review
Toyota GR86
Toyota GR86

New Toyota GR86 2022 review

The GT86 has evolved into the GR86, gaining a bigger engine, a stiffer shell and chassis tweaks. Is it now affordable sports car perfection?
26 May 2022
New Smart #1 ride review
Smart #1 - front
Smart

New Smart #1 ride review

We get an early taste of the new all-electric Smart #1 from the passenger seat ahead of it going on sale at the end of this year
27 May 2022
New Ora Funky Cat electric car is out of the bag in Britain from £30k
Ora Cat 01 - front
Electric cars

New Ora Funky Cat electric car is out of the bag in Britain from £30k

The high-spec Ora Funky Cat First Edition lands with plenty of kit, but cheaper versions and long-range model also planned
27 May 2022