Swedish Automobile, the owner of Saab, said today that it is in am “intense final negotiations” with investors on how to secure financing that could help keep the carmaker alive.
“The final result of these negotiations, which can come more or less anytime, are conclusive for Saab’s ability to take a stance on the question that the court has asked Saab to comment on,” Saab said in the court document. “Thus, Saab cannot, until the result is known, make any remarks.”
Apparently, Saab has realized that reorganization will cost a lot of money and the administrator in charge of the reorganization said that he sent an application to Swedish court to end the process.
“The money is not enough to continue the reorganization,” Guy Lofalk told Reuters last week. Lofalk said $70 million promised by U.S. private equity company North Street Capital on last week for Saab was far from enough to continue reorganization.
Saab ended its investment agreement with China’s Pang Da and Youngman earlier this week.
– By: Omar Rana
Source: Automotive News