The future of Saab is once again being questioned after negotiations between Spyker Cars and China’s Hawtai Motor Group were terminated. Saab hoped that money obtained through the million dollar agreement, would allow Saab to reopen their Sweden factories, which have been closed since April due to lack of credit from suppliers. Hawtai confirmed that talks have fallen through saying that both sides were unable to reach an agreement in the allowed time frame, but hope that negotiations will continue. The lack of consensus of the deal is being blamed on a hasty agreement put together by Spyker’s chief executive and chairman before full approval was obtained from its backers.
Spyker also continues to remain in discussion with another potential investor, the Russian businessman Vladimir A. Antonov. Negotiations between the two parties was blocked last year by G.M before they sold the Swedish automaker. Allegations of suspicious financial dealings was the reason for the breakdown of those negotiations.
Things are starting to look better for Saab today as they signed a tentative deal with one of the largest publicly traded car distributors in China. The finance and import deal with Pangda Automobile Trade, comes after several negotiation collapsed with other potential Chinese partners. Under the agreement, Saab will receive $63 million for an unspecified number cars, plus almost $90 million for equity in Spyker Automotive, giving them some control in Spyker and Sabb management. The deal will include a joint venture to make and distribute cars in China under the Saab brand and a new brand not yet announced. According to Victor Muller, chief executive of Spyker and Saab, “The agreement is a tremendous boost for the company, allowing them to sell imported Saabs in China.”