Hong Kong watchmaker O Luxe will purchase GLM, a Kyoto University Venture coined “Japan’s Tesla,” for $114 million, according to Nikkei.
O Luxe plans to fund the purchase with cash and by selling new shares at a 19 percent marked-down rate to its normal share price. The current offer will give O Luxe an 85.5 percent stake in the company.
As the company continues to purchase shares of GLM, it will look to buy up the rest of the holdings from minority shareholders, giving it full control over the electric-car company.
GLM has sold limited quantities in the U.K. and Japan so far. They turned heads last year with a full-resin windshield installed in its prototype Tommykaira ZZ. The vehicle is the first in the world to employ that type of windshield.
The luxury EV maker is mainly known for its high-priced, sporty vehicles. For example, its GLM-G4 model features a twin electric motor with 536 horsepower and 737 pound-feet of torque. The vehicle is priced within $200,000 and $300,000.
The GLM-ZZ is another luxury sport EV, but is available for only $80,000.
According to the company’s website, the ZZ was released to not only contribute to a sustainable future, but also provide the driver with an “exciting drive and feel.”
In addition to its vehicles, GLM also has developed a major platform for packaged solutions including chassis, power systems and vehicle control units. The platform, which is available even to rival automakers, can provide “organizations not structured as automobile manufacturers to develop EVs.”
O Luxe, founded in 1989, specializes in producing luxury watches. So far, little has been said about the company’s plans for their new EV brand.
O Luxe’s share prices shot up after the announcement, jumping to a high of $1.23, up 20.58 percent from last week’s market close. O Luxe’s is currently valued at $5.25B.
Even as more details about the deal and intentions of O Luxe continue to emerge, the impact of O Luxe’s purchase has been apparent throughout markets in Asia.