EuroSports Global Limited Increases Stake in Prosper Auto to 80%, Deepens Indonesian Expansion
EuroSports Global Limited Boosts Stake in Prosper Auto to 80% and Launches Refreshed Lamborghini Jakarta Showroom
Key Developments
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Increased Stake in Prosper Auto: EuroSports Global Limited (“EuroSports”) has entered into a Share Purchase Agreement to increase its shareholding in Prosper Auto Pte. Ltd. from 51% to 80%. The acquisition involves 145,029 ordinary shares and is valued at S\$1.8 million, to be fully settled by transferring 10 million treasury shares in EuroSports to Eden Capital Pte. Ltd. at a price of S\$0.18 per treasury share.
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Strategic Rationale: The Board cited closer alignment with Prosper Auto, confidence in Indonesia’s luxury automobile and after-sales market, efficient use of capital by deploying treasury shares (not cash), and a positive expected financial impact as key reasons for the transaction.
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Refreshed Lamborghini Jakarta Showroom: This corporate milestone is timed with the grand opening of a newly refreshed Lamborghini showroom at Mten Building Gf 5, Jl. Kapten Tendean No. 20 C Kuningan South, Jakarta. The new facility is expected to enhance customer experience and strengthen brand presence.
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Regulatory Notes: The transaction is considered a disclosable transaction under the SGX Catalist Rules. Completion is subject to regulatory approvals and customary closing conditions.
Investor-Focused Details & Potentially Price-Sensitive Points
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Significant Increase in Ownership: By raising its stake to 80%, EuroSports gains greater strategic control over Prosper Auto, which is the exclusive representative of Lamborghini in Indonesia since 2018. This move tightly aligns Prosper Auto’s operations with the Group’s standards and objectives.
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Demonstrated Confidence in Indonesia: The Board’s decision is underscored by its conviction in the long-term growth and profitability of the Indonesian luxury auto market. The luxury car and after-sales sector in Indonesia is viewed as strategically important, with robust prospects for value creation.
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Capital Conservation via Non-Cash Acquisition: The transaction is structured to use treasury shares rather than cash, enabling EuroSports to preserve liquidity. This is a noteworthy capital management strategy that could strengthen the company’s balance sheet, enhance net asset value (NAV) per share, and improve net tangible assets (NTA) and earnings per share.
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Expected Financial Upside: The Board expects the acquisition to have a positive impact on key financial metrics, potentially enhancing NAV per share, NTA per share, and profit/loss per share.
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Showroom Launch as a Growth Catalyst: The launch of the refreshed Lamborghini Jakarta showroom marks a tangible commitment to the Indonesian market and is expected to boost Prosper Auto’s growth, brand presence, and customer engagement in Jakarta.
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Regulatory and Disclosure Requirements: The deal is classified as a disclosable transaction under Chapter 10 of the SGX Catalist Rules, and further updates will be provided as required until completion.
Board Commentary
“This increase in our stake in Prosper Auto is more than a financial transaction — it reflects our unwavering confidence in Indonesia’s luxury auto market and our long-term commitment to the region,” said Melvin Goh, Executive Chairman and CEO of EuroSports.
“By aligning more closely with Prosper Auto, we are better positioned to execute our growth plans, enhance customer experience, and deliver value to our shareholders.”
About Prosper Auto Pte. Ltd.
Since 2018, Prosper Auto Pte. Ltd. has been the exclusive partner for Automobili Lamborghini in Indonesia, serving discerning customers with a focus on excellence, innovation, and Italian craftsmanship.
About EuroSports Global Limited
Established in 1998, EuroSports Global Limited is a specialist in ultra-luxury and luxury automobile distribution and after-sales service. It holds exclusive distribution rights for Lamborghini in Singapore (since 2002) and Indonesia (since 2018), and Touring Superleggera in Singapore, Malaysia, Brunei, and Indonesia, with non-exclusive rights in China. Through its subsidiary, Scorpio Electric Pte. Ltd., the Group is developing a next-generation, fully electric motorcycle.
Next Steps
- Completion of the transaction remains subject to regulatory approvals and customary closing conditions.
- The Board will provide further updates in compliance with the SGX Catalist disclosure requirements.
Disclaimer: This article is provided for informational purposes only and does not constitute an offer or solicitation to buy or sell any securities. Investors are advised to conduct their own research and consult a professional advisor before making investment decisions. All forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially.
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