General Motors is likely to sell parts obaf its Saab unit to Beijing Automotive Industry Holding Co. and shutter the brand, Bloomberg reported today, citing two people familiar with the talks.
Selling Saab’s assets, including production machinery, is one of GM’s options, said the people, who added that GM directors will review the future of the Swedish unit today after Koenigsegg Group last week withdrew a joint bid with Beijing Auto.
Beijing Auto, still interested in buying GM’s Saab unit, plans to “move fast” on Saab to help improve its technology, President Wang Dazong said yesterday. Earlier this year, GM rejected a bid from the Chinese carmaker for its Opel division.
An auto industry expert in Germany said that Beijing Auto “is one of the potential candidates because Chinese manufacturers are looking for a foothold in Europe and need the distribution network, the technology and the brand.”
Officials from Saab Automobile and the Swedish government went to Detroit yesterday to attempt to help General Motors find a solution for the troubled Swedish automaker that would keep the brand going.