GM Sells Saab to Spyker

Sweden will guarantee a $563 million loan that Saab requested from the European Investment Bank.

General Motors said on Jan. 26 it had agreed to sell its Saab brand to Dutch luxury sports car manufacturer Spyker. "Today's announcement is great news for Saab employees, dealers and suppliers, great news for millions of Saab customers and fans worldwide and great news for GM," GM vice president for corporate planning and alliances John Smith said.

"General Motors, Spyker Cars and the Swedish government worked very hard and creatively for a deal that would secure a sustainable future for this unique and iconic brand, and we're all happy for the positive outcome."

GM said that under the agreement, Spyker will form a new company -- Saab Spyker Automobiles -- that will seal the future Saab brand, adding that the transaction was expected to close in mid-February.

Sweden will guarantee a 400 million euro (US$563 million) loan that Saab requested from the European Investment Bank, Enterprise Minister Maud Olofsson said on Jan. 26.

"Throughout the negotiations, GM has always had the hope to find a solution for Saab that would avoid a wind down of the brand," said Nick Reilly, president of GM Europe.

"We've worked with many parties over the past year, including governments and investors, and I'm very pleased that we could come to such a good conclusion, one that preserves jobs in Sweden and elsewhere. GM will continue to support Saab and Spyker on their way forward."

Copyright Agence France-Presse, 2010

Hide comments

Comments

  • Allowed HTML tags: <em> <strong> <blockquote> <br> <p>

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.
Publish