Saab sale to Pang Da and Youngman to be reworked, after GM makes objections over the deal

Saab sale to Pang Da and Youngman to be reworked, after GM makes objections over the deal

According to reports, the rescue deal for Saab made by Pang Da and Zhejiang Youngman will have to be redone after General Motors made objections. “We have to go back to the drawing board,” said Viktor Muller, chief executive of Swedish Automobile.

GM said yesterday it had decided to sever ties with Saab, revoking its commitment to supply it with vehicle components and the 9-4X model because of the risks posed by the pending sale of the brand to Chinese owners, the report states.

An official statement from GM put the message across very clearly. “Although General Motors is open to the continued supply of powertrains and other components to Saab under appropriate terms and conditions, GM will not agree to the continuation of the existing technology licenses or the continued supply of 9-4X vehicles to Saab following the proposed change in ownership as it would not be in the best interests of GM shareholders.”

Last week, GM had stated that it would be difficult to support a sale of Saab if the transaction hurt its existing tie-ups in China or its competitive position in other markets. The US automaker still has preference shares in Saab and is a major supplier of vehicle components, and so must approve the Pang Da and Youngman takeover. At this point, the fate of the Swedish automaker continues to hang in the balance.

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Anthony Lim

Anthony Lim believes that nothing is better than a good smoke and a car with character, with good handling aspects being top of the prize heap. Having spent more than a decade and a half with an English tabloid daily never being able to grasp the meaning of brevity or being succinct, he wags his tail furiously at the idea of waffling - in greater detail - about cars and all their intrinsic peculiarities here.

 

Comments

  • lol… if dun want to rescue it then don’t ka ka cau cau lar GM

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  • So Pang Da and Zhejiang Youngman bought a company without engines, gearboxes and modern platforms?

    No problem, they still can use the SAAB 92 platform from 1947 and source powertrains elsewhere (Proton?).

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  • Harry on Nov 08, 2011 at 2:23 pm

    GM itself cannot rescue Saab but don’t want others to rescue it???

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  • kamaji on Nov 08, 2011 at 4:36 pm

    The Yankee no money to rescue but against other in saving an ailing car…what kind of joke is this.Anyway kung fu panda dont need GM parts lah, plenty of suppliers out there waiting happily to offer from tranny, engine to light bulb..Kan nee neh.

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  • 4G63T DSM on Nov 08, 2011 at 5:43 pm

    Looks like this decision lies a lot deeper. GM is just flexing its corporate muscle to try to position itself in a better position against the new chinese owners. Corporate chess.

    GM doesnt need Saab in china and more so the 9-4x. GM already sells the Cadillac SRX which is the same car. And have been doing well with the Buick brand name.

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  • Saab 9-3 - SS on Nov 08, 2011 at 7:17 pm

    poor saab owner like me in bolehland….wish to see new 95 & 93 Aero locally

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  • 9-3ss on Nov 09, 2011 at 10:58 am

    Another poor Saab owner in bolehland… damn GM!!

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