PETALING JAYA: Following Bermaz Auto Bhd being awarded the distributorship and rights for the sale of spare parts and provision of after-sales services of China’s XPeng smart electric vehicles in Malaysia, MIDF Research has maintained a ‘buy’ call for the automobile distributor at an unchanged target price of RM3.39.
Meanwhile, MIDF said BAuto is expected to invest more than RM5 million into EV capabilities and infrastructure to prepare itself for the move into electrification. “Additionally, ‘minimal’ investment in after-sales is expected as BAuto already has battery electric vehicles capability, having launched other BEV models such as the Kia EV6, Kia Niro EV, and Mazda MX30 in recent years.“There is no firm indication of completely knocked down plans yet, but we believe this is a possibility given that CKD BEVs are extended excise duty exemption until December 2027,” it said.