KIA vehicles to be assembled by Dewan Group

KARACHI: A technology transfer agreement has been signed between Dewan Farooque Motors Ltd and Kia Corporation of the Republic of Korea for the production/assembly of vehicles.

Even though the company is sitting on the exchange’s defaulter counter, the announcement resulted in a 2.24 percent increase in the automaker’s stock price from the day before.

Compared to a net loss of Rs63.8 million a year ago, the company made a net loss of Rs105 million in the latest three-month period. At present, the factory’s production of vehicles is suspended.

Kia vehicles are already being assembled by Lucky Motor Corporation, which was called Kia Lucky Motors until recently. The Yunus Brothers Group–owned auto­maker turned into a multi-brand company a while back by on-boarding European brand Peugeot as a partner.