Cash strapped Saab has a new saviour, just a few days after the deal with Chinese automaker Hawtai fell through. The Swedish brand’s owner, Spyker, has signed a memorandum of understanding (MoU) with Pang Da Automobile Trade Co Ltd, China’s largest publicly traded automobile distributor with over 1,100 dealerships nationwide.
The MoU includes a strategic alliance consisting of a 50/50 distribution joint venture and a manufacturing joint venture (MJV) for Saab vehicles as well as for an MJV-owned brand (a so-called ‘child brand’) in China. Saab will have up to 50% stake in the MJV, with Pang Da and another manufacturing partner owning the remaining shares.
In return, Saab gets what it needs the most for now – cash. Pang Da will pay 30 million euro for the purchase of Saab vehicles and is expected to make an additional 15 million euro payment for the purchase of more Saab vehicles within 30 days, subject to certain circumstances. The 30 million euro initial payment will give Saab the ability to pay its suppliers and the liquidity required to restart production.
In addition, the Chinese company will take an equity stake in Saab’s parent Spyker for a total amount of 65 million euro at 4.19 per share. This equates to 24% of Spyker, and Pang Da will have the right to nominate a member of the Supervisory Board of Spyker and/or the board of Saab.
Isn’t that quite a bit of purchasing power for a car dealer? Well, Pang Da raised nearly 6.5 billion yuan (over 703 million euro) in its initial public offering last month, so it definitely has the means.
Looking to sell your car? Sell it with Carro.
nice car!
Witty headlines …. ;)
Yeah, China rocks!!!
wah, panda …. awesome name !!
Get used to CINA WORDS people!!
China will own half the world soon … amazing … and the US used to call them Communists and made them look bad in cartoons. Now they are a world super economic power.
way to go China!… not only in automotive sector. with Europe in general is in deep economic shit, chinese businesses are in shopping spree!
first of all. bring back saab to malaysia.
how? who do you think can handle the brand here? if malaysians didn’t buy saab before, there’s no guarantee anyone will buy it now.
i hope that the brand survives their financial problem somehow. there are quite a bit of red tape before the funds are finally sent over from china to sweden.
The world better watch out ……….. the dragon has awaken, the glorious days of China is coming ….. read some report that China economy will overtake the United States by 2020
I think probably sooner than that, lol.
If you been to China then you’ll know. If you been to IBM, Dell, Sony, etc in China then you’ll know.
Once upon a time M’sian may be the pioneer working in those MNC, with the necessary knowledge, but right now if you go to China, I wonder how good M’sian professionals are as compare to them.
Honestly the fear is out there, not just current generation, but the next generation as well.
Saab will be imported from china next time. China is moving so fast, wonder if Malaysia is still sleeping…
more funny names will surface. that’s for sure. lols.
The best part is that “saab” actually means something like “sir” in Hindi, so if you say “Pang Da Saab”, it sounds like “Mr. Panda” or “Panda Sir”…
Saab, please start focus on people’s vehicle with wider audience to survive instead of luxury…anyway why FWD saab so expensive? I love saab, love the design n quality, but FWD car shouldn’t be expensive
audi also fwd and expensive. even lexus ct200 is fwd and expensive too.
i don’t mind a SAAB-perdana replacement, with parts from China, I think the cost will be bearable rather than from the EU.
Pan(g)da saved the day? It’s still too early to call. SAABs are for Saabanists and there are not many of them in the world. Good luck to Spyker at any rate.
If can’t buy outright, just copy. Now I know there is a reason for those black surounds on the headlights of 9-5 models. It is to show Pan(g)da eyes.