Daimler has exercised a call option on 66m shares of its Malaysian distributor Mercedes-Benz Malaysia Sdn Bhd (MBM) held by Cycle & Carriage Bintang Bhd, according to local reports.

The shares are equivalent to a 49% stake in the company and the call option, which expired at the end of November, cost Daimler MYR66m (US$16m). 

Cycle & Carriage Bintang is a leading vehicle dealer group in Malaysia with 13 Mercedes-Benz sales and aftersales outlets across the country.

In a statement to reassure customers, Cycle & Carriage Bintang said "the recent decision by Daimler AG to exercise its call option on the company's holding in Mercedes-Benz Malaysia will not impact our commitment and ability to continue delivering exceptional experiences to our customers at our dealerships across Malaysia".

It added that the share sale "will not impact any of its trading operations, trading performance or support of its customers". 

The distributor delivered 11,380 Mercedes-Benz vehicles in Malaysia in the first 10 months of 2018.