China’s SAIC may take a passive stake in Saab

[rickaren]

China’s SAIC may take a passive stake in Saab

Posted Tuesday, Sep 8, 2009, 12:59 pm in Employee News

China’s largest automaker, SAIC Motor group, may take a passive stake in Saab Automobile by teaming with luxury sportscar maker Koenigsegg, a source with knowledge of the situation told Reuters on Tuesday.

SAIC, a General Motors Co.’s China partner, is interested in buying into the U.S. automaker’s Swedish unit, but its ill-fated investment in South Korea’s loss-making Ssangyong Motor years ago, weighs on its decision, the source who declined to be identified due to the sensitivity of the issue, told Reuters.

“SAIC is considering taking a stake in Saab but has not made up its mind or the size of any possible investment,” said the source. “If it finally decides to go ahead, it will most likely be the parent company rather that the listed SAIC that would take a stake in Saab.”

Koenigsegg struck an accord in June to buy Saab from General Motors, backed by U.S. and Norwegian investors, the news service said. In August, the Detroit automaker and Koenigsegg said they had a deal ready but questions regarding financing remained, the story said. (Reuters)