Koenigsegg closer to Saab acquisition

Saab will likely be under new management before the end of the third quarter, this year. A memorandum of understanding signed yesterday by current owner General Motors and a consortium led by Koenigsegg clears the way for the transfer of Saab ownership from the troubled multinational to the independent supercar manufacturer.

A condition of the sale is that the European Investment Bank -- with a guarantee from the Swedish government -- will contribute US $600 million to the continuing operations of Saab, post sale.

GM will also provide some on-going support in the lead-in to new model launches, such as the next 9-5 (pictured, more here) and the Swedish government-guaranteed funding is in line with the 'Swedish Law' reorganisation (more here).

As has been the case with Ford's sale of Jaguar and Land Rover to Tata, GM will continue to support Saab with platform and drivetrain sharing for an undisclosed period in the future.

"Saab is a highly respected automotive brand with great potential," says Carl-Peter Forster, President of GM Europe.

"Closing this deal represents the best chance for Saab to emerge a stronger company.  Koenigsegg Group's unique combination of innovation, entrepreneurial spirit and financial strength, combined with Koenigsegg's proven ability to create world-class Swedish performance cars in a highly efficient manner, made it the right choice for Saab as well as for General Motors."

Managing Director of Saab, Jan Åke Jonsson welcomed the announcement that the MoU had been signed.

"The proposed agreement will enable us to maximize the brand's potential through an exciting new product line-up with a distinctly Swedish character," he said.

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