Malaysia auto dealership operator MeGroup said Monday its Honda dealership in Cheras obtained 4S approval, while its first Hyundai dealership, offering 3S services and located in Klang, has opened.
A 3S dealership offers the sale of new autos, after-sales services and sells auto parts and accessories, while a 4S dealership offers the 3S services and has additional services for auto body paintwork and collision repair.
The Honda dealership, located in Cheras, was previously a 3S center, but finished upgrading works and obtain 4S authorization earlier this month, MeGroup said in a filing to SGX.
The company added the new Hyundai dealership is the only one offering the brand in Klang.
“The expansion of our dealership portfolio is progressing well. Now that we have just opened our first Hyundai outlet, we are looking forward to the opening of our next dealership outlet – the group’s first Ford dealership,” Jeffrey Wong, head of group expansion and strategy and head of dealership, said in the statement.
“We will also continue to strive to achieve 4S status for all our dealerships, so that we may offer the whole spectrum of services for our customers,” he added.
In addition, MeGroup’s manufacturing subsidiary MNSB has made progress on its contract to produce NVH — or noise, vibration and harshness — and non-NVH components to a major Malaysia carmaker, the filing said.
MeGroup said it expected to begin supplying the components, which are under development, in 2020, with the project set to continue until the end of the car model’s production lifecycle.
“Our dealership segment drives the group’s topline growth whilst our manufacturing segment provides a stable, recurring income with higher margins,” Carol Wong, executive director of MeGroup, said in the statement.