Lotus acquires sufficient funds to restart production
With Lotus having to cease production completely for the past 60 days as a result of its sale from Proton and acquisition by DRB-Hicom, production has finally resumed. Fingers crossed; this could be the start of a much needed recovery for the ailing brand.
Even though we knew production would resume eventually, we are very surprised that it’s happened so soon, especially after reports surfaced just days ago that DRB-Hicom was already looking for a Chinese buyer to take Lotus off their hands.
Up to this point, Lotus has more than $316 million in debts and in order for these debts to be overcome, Lotus has to decrease production costs significantly and increase output. If these two strategies cannot be met, then we can’t see how Lotus can be a viable business in the future.
Autocar is reporting that production will restart at the beginning of May, when Lotus hopes to pump out no less than 44 cars weekly with the Elise, Exige, and Evora all being produced yet again. The most exciting news to come out of this revelation however, is that development of the upcoming Esprit supercar should resume including development of the brand new V-8 engine it’ll feature. This new V8 is being developed completely in-house and will deliver between 550 - 570 HP.
Finally, Dany Bahar confirmed that DRB-Hicon is not actually looking to sell the flailing brand off to the Chinese stating, “It’s just not true,” he says. “There is no fire sale, no selling process and no bidding. If there were, lots of strange people would be here doing inspections and due diligence, but there is nobody. Besides, I have no authority to sell the company. That’s a job for the shareholders. I am just an employee.”