This Bernama report provides some answers to the questions which have been raised on the sale of Agusta by Proton for one euro. The following are some excerpts from the report:
'... Agusta was just days from missing an instalment to one of its creditor banks.
'The consequence of missing an instalment payment to its banks for frozen debts would have automatically triggered a general default on its entire loan package.
'This would certainly spell bankruptcy and at that point, even one euro would be out of the question,' said a European banker involved in the disposal of MV Agusta.
'He said that although Proton Capital, a Proton Holdings' subsidiary, owned Agusta, Italian law allowed creditors and bankers to go all the way up to the beneficial owners - meaning Proton Holdings would be held liable.'
Now that there are some answers for the sale of Augusta, perhaps we can get some answers as to why the stake in Augusta was acquired in the first place.
