Chinese Bank Involved In Potential Saab Rescue
By AutoObserver Staff December 5, 2011
Counter to weekend reports that the Bank of China was in dialogue with Swedish Automobile NV, owner of Saab Automobile, regarding help with a potential sale of near-death Saab, reporting today indicates only that a bank located in China is in talks with the company about an investment in Saab, which for months has teetered on the edge of insolvency. Two Chinese auto-related companies, Pang Da Automobile Trade Co. and Zhejiang Youngman Lotus Automobile, have for weeks tried to forge a deal to purchase Saab from Swedish Automobile, but former Saab owner General Motors Co., which owns preferred shares in Saab, said it would not approve any deal that sees majority ownership by a Chinese entity.
It is possible that Pang Da has stepped aside in an effort to restructure an ownership arrangement amenable to GM, as Saab said today it remains in talks with Youngman and the unnamed bank, but Pang Da was not mentioned. A GM spokesperson quoted by Reuters reiterated that if Saab becomes substantially owned by Chinese interests, it may continue to supply certain components to Saab, but that it would no longer provide access to GM-licensed technology and it would no longer build the 9-4X crossover, which GM built under contract for Saab but since has suspended production.
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