Federal Auto Holdings (FAHB) and SAIC Motor have entered into a memorandum of understanding (MOU) as a first step towards reviving the iconic MG brand in Malaysia.

The MOU formalised the intention of FAHB and SAIC to conduct further discussions, due diligence and feasibility studies with regard to the reintroduction of MG vehicles in Malaysia. It could also lead to the development of facilities for the assembly of complete knocked down (CKD) MG vehicles.

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FAHB, a wholly-owned subsidiary of MBM Resources Berhad (MBMR), has been synonymous with the Volvo brand since its establishment in 1960. However, the company has transformed itself in recent years by successfully adopting a multi-brand strategy that includes dealerships for global brands such as Volkswagen and Mitsubishi.

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