Plenty of folks might buy Saab by next year. Unfortunately, it might be dead by then.
Wall Street Journal: Saab Managing Director Jan Ake Jonsson, in an interview at the Geneva auto show, said Saab is working with Deutsche Bank and has begun discussions with potential investors from both the auto industry and with investors outside the industry. He declined to name any of Saab’s suitors, but said it is possible a deal could be completed by next year.
Mr. Jonsson also said Saab needs 500 million euros in aid from the Swedish government to survive amid the deep downturn in global auto sales. Saab recently sought to reorganize under court protection in Sweden, a process similar to Chapter 11 bankruptcy protection in the U.S.
The reorganization was prompted by GM’s decision to turn Saab into an independent company. Saab will be challenged to survive on its own, however. GM and Saab have asked the Swedish government for financial aid, but the request has not yet been granted.
Without aid, Saab could run out of money, Mr. Jonsson acknowledged.
Mr. Jonsson thinks Sweden will eventually pony up, though. Why? Same logic parent GM has been using here. Failure means the end of civilisation.
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