General Motors Blocks Saab Sale to Chinese Investors Again
GM has again refused to approve Saab's proposed sale to Chinese firms, citing concerns over technology transfer and shareholder interests as Saab faces a crucial court hearing.
General Motors has again blocked the proposed sale of Swedish automaker Saab to a group of Chinese investors, stating that the latest alternatives are too similar to previous offers it already rejected. The decision was confirmed on Saturday, just days before a crucial court hearing that could determine Saab’s future.
The American manufacturer, which retains technology licences in several Saab models, said the latest proposals from Chinese companies Zhejiang Youngman Lotus Automobile and Pang Da Automobile Trade were either directly or indirectly transferring control in a way GM believes would harm its interests. GM’s spokesman said the alternatives were not meaningfully different from the original proposals, which GM had already turned down.
Earlier in the year, Youngman and Pang Da had offered to acquire Saab for a reported 100 million euros, but GM blocked that deal citing similar concerns. With GM’s technology still embedded in Saab’s product lines, the US firm has consistently argued that any transfer to Chinese ownership could put its intellectual property at risk or undermine its competitive position.
Saab's uncertain future
Saab, owned by Dutch-listed Swedish Automobile NV, is under bankruptcy protection. The company faces a court hearing on Monday to decide whether it can exit reorganisation. The administrator overseeing Saab’s restructuring has already asked the court to end the process, citing lack of funds to continue operations.
Saab CEO Victor Muller disputed GM’s stance in an interview with Swedish newspaper Svenska Dagbladet, insisting that the latest proposal would not give Youngman any ownership in Saab. Muller suggested that GM’s public statements were intended to influence the court proceedings.
