Saab administrator: We are conducting dialogues with four to five interested parties image

Up to five companies are interested to buy Saab, AFP reports.

Mr Hans Bergqvist, one of the three SAAB administrators who are looking into selling SAAB, said,

“I can’t comment on who we are in discussions with, but we are conducting dialogues with four to five interested parties who we consider are seriously interested. That is our main tack (since) we… will get the most value.”

Though the administrators did not reveal any names, it is believed that the Indian carmaker Mahindra and Mahindra, Youngman and Brightwell Holdings are on the list.

Chinese carmaker Youngman was very keen on the buyout. In fact, a delegation from the Chinese company will soon arrive in Sweden tomorrow for talks.
The Swedish Daily Dagens Industri is reporting that a person familiar with the deal is indicating that Youngman maybe readying around 5 billion Swedish Kroner to buy Saab, and will invest a further 5 billion Kroner ($731 million) to develop new models from the Phoenix platform which was developed without any input from GM.

However, even if Youngman is successful with its bid, the deal would likely require approval from the Chinese government, who seemed to be in no rush to approve previous contracts between Saab and Chinese companies.

Therefore, any bid from Brightwell Holdings will probably have more chance of success. Brightwell’s offer is probably a couple of weeks out though as they continue to evaluate Saab’s assets, including its inventories, in order to determine what they’ll be willing to pay.

“We have to (hurry) due to the economic situation we are in. To make it possible for someone to restart the activity again, we have to keep the factory in good shape, and that costs an incredible amount of money,” a company representative said.

Originally an aircraft maker, Saab entered into the auto market after World War II with the first production of the two-stroke-engine Saab 92. It soon became a household name in Sweden and in the 1970’s it released its first turbocharged model – the landmark Saab 99.

Its assets are valued at a mere 3 billion Swedish kronor ($431 million), according to the bankruptcy filing.

  • TommyV

    Come on you can do it!!!!!! Damn teasing us all the time with this survival crap, someone rescue my beloved Saab cause just the thought of buying something else maddens me.