Image: © Saab AB
Bad news, Saabophiles: the latest deal to rescue the struggling automaker with an influx of capital from China’s Hawtai Motor Group has fallen through. Reuters reports that Hawtai was unable to obtain the necessary approvals, but it’s unclear if these were approvals from the Swedish government, the European Investment Bank or the Chinese government. The collapse leaves Saab without badly needed funding, although Spyker (Saab’s parent) insists that dialogue with Hawtai and other Chinese investors (including Great Wall Motor) is ongoing. Vladimir Antonov, the Russian investor with a somewhat questionable past, also remains interested in investing in Saab pending approval of the EIB and the Swedish government.
Although production was halted last month, Saab remains in dialogue with its suppliers to resume production. That’s unlikely until Saab receives an infusion of cash, especially since most suppliers are owed significant money. Saab’s employees, including idled assembly line workers, continue to draw a paycheck.
Spyker chairman Victor Muller is working hard to find additional sources of funding, but the collapse of this latest deal doesn’t bode well for Saab’s survival.
Source: Reuters, via Motor Authority
Kurt Ernst has been passionate about automobiles and driving nearly his entire life. His early years were shaped working in the family service station, though his real passion was auto racing. After graduating from the University of Colorado, Kurt spent a year club racing with the Sports Car Club of America, before focusing on a business career in marketing and project management. Later, his passion for writing and the automotive hobby found him freelancing for a variety of automotive news sites, including Automotive Addicts and Motor Authority, where his work was syndicated and appeared in several national publications. Recognized as an expert in the automotive field, Kurt joined Hemmings Motor News as an Associate Editor in 2013, and in the years since has progressed to Editor, Hemmings Daily; Managing Editor for Hemmings Motor News, Hemmings Classic Car, Hemmings Muscle Machines, and the Hemmings Daily; and now, Managing Editor, Hemmings Auctions. Kurt was instrumental in organizing the Hemmings Motor News Concours d’Elegance from 2013-2019, and has served as a judge at this event and The Vintage Racing Stable Concours d’Elegance. A Skip Barber Racing School graduate and prolific writer, Ernst is also skilled in copyediting, project management, brand development, and public relations.
