BREAKING NEWS: Genii Capital terminates Group Lotus sponsorship deal

Owner of team Lotus Formula One, Genii Capital has terminated their sponsorship deal with Group Lotus in light of the financial uncertainty surrounding the company and the sale of parent company Proton to Malaysian conglomerate DRB-Hicom Berhad, according to authoritative British motorsports magazine, Autosport.

Strangely, the team is committed to keeping the name Lotus on the side of their cars.

Apparently, the name has opened a lot of new sponsorship doors for the team, including those at Unilever and Microsoft.

Genii owner, Gerard Lopez said that they have also terminated Proton's option to purchase up to 50% of equity in the team.

The deal was patched together in 2010 after Lotus boss, Dani Bahar announced their ambitious turnaround plan with five new high-end sports cars and grand tourers.

Of late the financial situation at Lotus has been less than healthy and reports of possible massive reduction in staff numbers and pay cuts have become more regular.

This uncertainty has not gone down well with Proton's new owners and this latest development will likely make Lotus's position within the DRB-Hicom group even less tenable.

Lopez, who was earlier linked to a buyout of Lotus said that he has no idea what the new owners of Proton has in plan for the British sportscar maker.