This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Lentuo Announces Joint Venture With Fortune Global 500 Company Based In Asia

BEIJING, Oct. 22, 2012 /PRNewswire/ -- Lentuo International Inc. (NYSE: LAS, "Lentuo" or the "Company"), a leading non-state-owned automobile retailer in Beijing, China, today announced that it has signed a joint venture ("JV") agreement with a Fortune Global 500 company based in Asia (the "JV Partner"). The agreement will be effective upon government approval. Under the terms of the agreement, Lentuo and the JV Partner will jointly operate Beijing Lentuo Autong Automobile Trading Co. Ltd. ("AT") to expand sales and services in the high-end car segment in China.

The JV will focus on the expansion of AT's high-end 4S dealerships across China, starting with the new South Beijing Audi 4S dealership that the Company announced on July 23, 2012. The JV will scale up its higher margin repair and maintenance services. 

The JV Partner will invest RMB300 million and take a 40% stake in the JV. With extensive experience in operating and investing in high-end car dealerships across Asia, the JV Partner will also act as a strategic investor to help strengthen AT's management and business operations over the long run.

"We are very pleased and honored that a company with such a global know-how, recognition and reputation has agreed to partner with Lentuo in the China auto market," stated Mr. Hetong Guo, Founder and Chairman of Lentuo. "As we expand our premium car business, we particularly value the extensive experience that they have acquired in this field over several decades of highly successful operations in Asia. We welcome the opportunity to leverage their strategic and operational knowledge to seize future opportunities for sustainable, long-term growth in order to increase shareholder value."

"We believe that this strategic partnership, together with the recently announced strategic agreements with First Automobile Finance and its two subsidiaries, places Lentuo in a unique position and provides ample financial resources to capitalize on the growing demand for premium cars as standards of living continue to rise in the largest auto market in the world," concluded Mr. Guo.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG

Markets

Chart of I:DJI
DOW 16,643.01 -11.76 -0.07%
S&P 500 1,988.87 +1.21 0.06%
NASDAQ 4,828.3250 +15.6170 0.32%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs