SAAB Abandoned By GM, Files Bankruptcy.

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http://www.autoblog.com/2011/04/11/r...-up-saab-loan/

Report: Swedish gov't. working on freeing up Saab loan

by Chris Shunk (RSS feed) on Apr 11th 2011 at 1:01PM

The last few weeks haven't been easy for Saab, as the Swedish automaker has had to stop production twice due to supplier issues. Not just any problems, either, as the suppliers wanted to get paid, and Saab simply didn't have the cash. That led to widespread speculation that the automaker was destined to shutter only a year after Spyker purchased the company from General Motors.

Now Bloomberg is reporting that the Swedish government is looking into getting a bank loan to float the company for the short-term. The loan will most likely come from Bankas Snoras in Lithuania, which is run by Russian investor Vladimir Antonov, who has attempted to buy into the brand since GM originally put it up for sale.

The Swedish government is fighting for more than just a few thousand, albeit important jobs as well. Sweden backed Saab's 400 million-euro ($577 million) loan from the European Investment Bank, likely leaving the Swedish taxpayers on the hook for a hefty bill if the automaker goes south.

Bloomberg sources say lawyers are working on a deal that would float the automaker $48 million while the government approves the involvement of Antonov. Once approved, the Russian investor would then add 50 million Euro ($72 million in U.S. funds) to Saab's coffers in exchange for a 30 percent stake in the company.

We're thinking this deal will get done and Saab will be able to pay its suppliers. But whether the Swedish government and Antonov are throwing good money after bad is another matter. We'll continue to follow this situation as it unfolds.

[Source: Bloomberg | Image: Fabrice Coffrini/AFP/Getty]

[Resurrection]

SAAB are so screwed thanks to GM.

[Buntz]

I hope Spyker and SAAB turn it around. They would make some interesting products.

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http://www.autoblog.com/2011/04/15/r...rt-production/

Report: Saab secures financing to restart production

by Jeff Glucker (RSS feed) on Apr 15th 2011 at 6:13PM

Are the dark clouds parting over Trollhättan? According to Saabs United, it's starting to look that way. Swedish automaker Saab has just received a green light that will allow it to borrow money from a European bank.

Saab's plant is now owned by a company called Saab Automobile AB Properties, and that company is run by Vladimir Antonov. No money has yet been transferred, but this move clears the way to make that happen... pending a few conditions. The price paid for any property must be fair (whatever that means), Antonov will have to resolve any outstanding questions regarding his history and the money will go through a bank that has no connection to Antonov. It's clear that the automaker is still nervous to do business with Mr. Antonov, but the time has come where cash is urgently needed.

There's still no word yet on when production will resume. A sign that this is close to occurring, however, has come by way of suppliers agreeing to start sending in needed parts. Head over to Saabs United for more insight on this most recent development in the ongoing Saab saga.

[Source: Saabs United | Image: Fabrice Coffrini/AFP/Getty]

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http://www.autoblog.com/2011/04/22/r...r-looking-for/

Reports: Volvo denies talk of Saab takeover,
Muller looking for partner in China

by Zach Bowman (RSS feed) on Apr 22nd 2011 at 1:59PM

It looks like Volvo and Saab won't be teaming up to create one Swedish carmaker to rule them all. According to Reuters, Volvo has made it clear that the company has had no talks with Saab about buying the besieged automaker and that none are scheduled to take place. The Swedish newspaper De Telegraf had previously reported that the Swedish government was urging Volvo into talks with Saab about a potential takeover. The move would mean that a government loan previously granted to Saab by the European Investment Bank would have a greater chance of being repaid.

Saab has hit (further) rough waters in recent months with multiple supplier hiccups resulting in production stoppages including instances of the automaker being unable to pay for parts. In addition, sales fell well short of 2010 forecasts, resulting in a further cash crunch. The Swedish automaker has since performed a few economic stunts to get production rolling again, including selling the company's properties and re-leasing them at a lower cost.

In related matters, Automotive News reports that Saab CEO Victor Muller is looking to broker a deal with a Chinese automaker to help finance the company, although it is understood that Beijing Automotive Industry Holding Co. is not one of those parties. BAIC, you may recall, purchased old Saab assets (the previous generation 9-3 model, among other things) back in 2009 for $200 million, and it also expressed interest in buying Saab from General Motors before Muller's Spyker stepped in and completed the purchase.

[Sources: Reuters, Automotive News]

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http://www.autoblog.com/2011/04/27/d...eneral-motors/

Deja-Vu: Saab's chances of survival depend on... General Motors?

by Dan Roth (RSS feed) on Apr 27th 2011 at 12:59PM

The Saab Shutdown of 2011 grinds on, with uncertain finances threatening to silence the operation for good. Even though Spyker took on the ailing brand, former owner General Motors is still the key to Saab surviving, The New York Times reports. Saab's Trollhättan plant ground to a halt in early April, and part of owner Spyker's plan to infuse working capital includes selling the plant and other real estate holdings to Vladimir A. Antonov and then leasing the property back from him. Antonov is a controversial figure in this triangle, and the Swedish government and the European Investment Bank need to sign off on his becoming a shareholder of Saab.

The European Investment Bank told the Times that it has provided an answer on the matter, so it now all hinges on General Motors. For its part, GM is keeping mum about whether or not it will sign off on the deal, with spokesman Klaus-Peter Martin offering up a "no comment." That statement has been directly echoed to Autoblog by GM spokesman Jim Cain, so it looks like we're all playing the same waiting game to see if Saab makes it.

[Source: The New York Times | Image: Chris Paukert/AOL]

[kaniSS]

I sat in a Saab years ago and tried to start the thing. Took me 5minutes to work it out.

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http://www.autoblog.com/2011/04/29/s...inese-partner/

Saab loses $107 million in Q1, looking for a Chinese partner

by Chris Shunk (RSS feed) on Apr 29th 2011 at 10:59AM

Automotive News reports that Saab lost $107 million during the first quarter of 2011. The automaker says that it is unlikely to meet its 2011 production target of 80,000 units, which is hardly news when considering that the automaker can't even make vehicles right now. The automaker sold only 9,674 vehicles in the first quarter of this year.

Saab is still looking for funding to jump-start production, and the company is reportedly in talks with three Chinese automakers in hopes of finding a partner. Spyker CEO Victor Muller reportedly said in a statement that Saab is looking for alternatives for funding operations, including "discussions with Chinese car manufacturers." Bloomberg reports that a deal could be made with one of the companies within the next few days.

[Source: Automotive News – sub. req.]

[Buntz]

That just makes me sad. I don't really like SAAB but I don't won't them to be another fatality of the GFC... and drag Spyker down with it. Worst of all, put another well known brand in the hand of the Chinese.... don't they already own everything? :P

But I'm seriously worried about the Chinese car industry. They will eventually catch up. But there is also the looming threat of the Chinese economy crashin in a heap.... and there goes Volvo and SAAB.

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http://www.autoblog.com/2011/05/02/s...omaker-hawtei/

Breaking: Saab saddles up with Chinese automaker Hawtei

by Zach Bowman (RSS feed) on May 2nd 2011 at 4:55PM Breaking

Volvo no longer stands alone as the only Swedish automaker with a Chinese partnership. According to Autoblog.nl, Saab and The People's Republic's Hawtei are reportedly set to announce that the two companies have joined forces. Hawtei, formerly Hautai, is likely best known on this side of the globe for strutting a logo that could have been the bastard child of the BMW roundel and the Microsoft window. At this point, it's unclear exactly what each automaker hopes to gain from the alliance, though something tells us that Hawtai will likely supply the capitol needed to keep the lights on at Saab.

The news comes after Saab announced that it had secured a loan to resume production in the short-term.

Autoblog.nl reports that Victor Muller, the current owner of Saab, will be part of an announcement about the Chinese partnership on Tuesday.
[Source: Autoblog.nl | Images: Chris Paukert/AOL]

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http://www.autoblog.com/2011/05/02/s...ese-investors/

Report: Saab closing in on deal with Russian, Chinese investors

by Noah Joseph (RSS feed) on May 2nd 2011 at 4:20PM

Around the same time that Ake Jonsson stepped down as chief executive of Saab, the Swedish automaker announced its expansion into the Russian and Chinese markets – a vital move if Saab is to increase its global market share. But it's not just the cars that Saab and its parent company Spyker are interested in selling in these two giant markets. It's also looking to offload shares in an effort to raise much-needed capital.

The first address is Vladimir Antonov, a man who shares a considerable history with Spyker. The Russian banker and multimillionaire oligarch was once the company's largest single shareholder and acted as its chairman, and is also the owner of CPP Manufacturing, to which Spyker sold its own sportscar business. After investigations alleged ties to organized crime, however, General Motors stipulated that Antonov had to leave the company before it would transfer ownership of Saab. Those allegations have apparently now been either disproven or swept under the rug as Antonov has now been cleared by both GM and the Swedish National Debt Office to invest as much as 30 million euros in Saab for a 30-percent stake in the company.

Following that revelation, Saab is also said to be closing in on a deal with a major Chinese carmaker, following a similar path that led crosstown rival Volvo to align itself with Geely following its sale by Ford. Among the manufacturers with which Spyker is reportedly undergoing discussions are the Great Wall Motor Co., China Youngman Automobile Group and Jiangsu Yueda Group, all relatively small players even in China's domestic market. Even so, they could provide the capital Saab needs to continue operating, and if they can, Saab's certainly in no position to pick and choose.
[Source: Bloomberg]

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http://www.autoblog.com/2011/05/02/s...ort-term-loan/

Saab to resume production after securing short-term loan

by Chris Shunk (RSS feed) on May 2nd 2011 at 2:00PM

Production at Saab's Trollhättan, Sweden plant has been shut down for weeks due, as these things often are, to a lack of cash needed to pay suppliers. That should change in the next week, though, as Saab parent Spyker has announced that it has secured a convertible loan agreement with Gemini Investment Fund Limited worth 30 million euros.

The Swedish automaker says the loan will help reboot the plant, but Saab is also counting on a 29.1-million-euro draw-down from the request to the European Investment Bank, which will reportedly arrive next week. With both loans, Saab says in the post-jump press release that it will be able to resume production at Trollhättan, pending a delivery schedule agreement with suppliers.

The loan, which matures in six months and carries a seven-percent interest rate, will act only as a stopgap measure to enable a production restart. Saab is reportedly also trying to strike a deal with a Chinese automaker to help stabilize its operations and provide much-needed funding. Saab is said to be continuing to work out a deal with Russian businessman Vladimir Antonov, who hopes to own 30 percent of the automaker. Hit the jump to read over the press release.
[Source: Automotive News - sub. req. | Images: Olivier Morin/AFP/Getty]

PRESS RELEASE

Trollhättan, Sweden: Spyker Cars N.V. (Spyker) announces that it secured the short-term funding of Saab Automobile AB (Saab Automobile) by entering into a EUR 30 million convertible loan agreement with Gemini Investment Fund Limited (Gemini).

Spyker entered into a EUR 30 million convertible loan agreement with Gemini with a 6 months maturity. The interest rate of the loan is 7% per annual and the conversion price is EUR 4.88 per share.

In addition to the receipt of EUR 30 million from Gemini, Saab Automobile will make a drawdown request to the EIB for an amount of EUR 29.1 million. As a result of the convertible loan and the EIB draw down - which is expected next week – Saab Automobile secured an amount of EUR 59.1 million. With the receipt of these funds, Saab Automobile secured the liquidity that is required to restart production.

Saab Automobile aims to restart production within a week, pending agreements on delivery schedules with its suppliers. In order to improve lead times to customers and dealers on existing and future orders, Saab Automobile will work together with its suppliers to minimize any impact from the recent production stop.

Spyker and Saab Automobile continue to work on securing medium and long term funding.

Victor Muller, CEO of Spyker and Chairman of Saab Automobile said: "I would like to apologize to our dedicated employees, suppliers, dealers and customers for the disruptions of the past weeks. We will do everything in our power to restore the confidence in our company as soon as practically possible."

[57customline]

bernie will buy saab and put em in f1

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http://www.goauto.com.au/mellor/mell...2578850026D434

Chinese car-maker Hawtai rides to the rescue as Saab strives to resume production

3 May 2011

By RON HAMMERTON

SAAB Automobile has signed a strategic partnership with small but ambitious Chinese motor company Hawtai Motor Group that will not only help the struggling Swedish company to revive production at its stalled home factory at Trollhattan but also get the brand into manufacturing in the huge Chinese market.

Hawtai has agreed to spend €120 million ($A163m) to buy a stake of up to 29.9 per cent in Saab parent company Spyker Cars NV in return for the rights to build and distribute Saab vehicles under joint-ventures in China, as well as share technology.

As well, Hawtai has agreed to lend Saab €30 million ($A40.7m) in the form of a convertible loan.

The Saab-Hawtai tie-up was announced today in Beijing by Saab chairman Victor Muller and Hawtai vice-president Richard Zhang, just 24 hours after Spyker announced it had secured a €30 million short-term loan that would, along with financing from the European Investment Bank (EIB), help kick-start production at Saab’s Trollhattan factory, possibly within a week.

The Saab production lines ground to a halt last month when unpaid parts-makers refused to deliver components until cash-strapped Saab settled their bills.

Announcing the deal, Mr Muller said: “The partnership with Hawtai allows Saab Automobile on the one hand to continue executing its business plan since we secured the required mid-term financing subject to meeting certain conditions, whilst on the other hand it allows Saab Automobile to enter the Chinese car market and establish a technology partnership with a strong Chinese manufacturer.”

In other promising news for Saab, former major shareholder in Spyker, Russian bank owner Vladimir Antonov, has been given clearance to invest in Saab from Sweden’s National Debt Office after previously being disallowed following claims he was connected with Russian mafia.

Mr Antonov, chairman of Conversgroup, has been cleared of any wrongdoing by an official Swedish government investigation, paving the way for him to become a shareholder in Spyker and thus secure Saab’s future.

However, an initial plan to raise cash by selling the property under Saab’s factory and head office might yet fall over if the company cannot meet a number of stringent conditions imposed by the EIB.

Saab’s latest partner, Hawtai Motor – a partner of Hyundai in China until last year – is best known for its SUVs based on Santa Fe and Terracan platforms, both of which are still sold under those names in China.

With capacity for 350,000 vehicles a year at two plants, Hawtai is one of China’s smaller motor manufacturers, but it is backed by the large Hawtai Group industrial conglomerate that has interests in a wide range of industries, including paper, chemicals, electricity, forestry and logistics.

Hawtai reportedly has ambitions to launch its products in Australia, with an executive telling Australian journalists at the recent Shanghai motor show that it was intending to develop right-hand-drive vehicles suitable for markets such as Hong Kong and Australia.

Founded just 11 years ago, Beijing-based Hawtai Motor recently launched a new large luxury sedan, the B11, joining its mid-sized sedan, the B21. Both are powered by a choice of four-cylinder petrol and diesel engines.

The company has announced planS produce a new SUV, the B35 Boliger, which has been described as a “mini-Cayenne”, to join the old Santa Fe and Terracan.

Its newer, self-developed models are all said to be contenders for the Australian market, with a Hawtai reportedly saying the company was interested in launching its products here but had yet to approach potential importers or address safety and emissions standards.

While Hawtai has been sourcing petrol engines from Mitsubishi and fellow Chinese motor company SAIC, it claims to be Asia’s leading clean-diesel engine producer under the OED sub-brand.

Chinese reports suggest it has bought technology from Italy’s diesel specialist VM Motori for its Chinese-built range of three-cylinder, four-cylinder and V6 diesel engines, ranging from 1.5 litres to 3.0 litres.

The latter produces 184kW of power and 500Nm of torque, but so far has not surfaced in any of the company’s five vehicles.

So far, the top-of-the-range diesel is a 2.0-litre four-cylinder producing 110kW of power and 310Nm of torque.

As well, Hawai makes ZF-based, old-tech five-speed manual and four-speed transmissions at its factories. A six-speed auto is said to be in development.

Its web site says it plans to build an industrial complex at Erdos, in Inner Mongolia, to lift vehicle production to 500,000, engine production to one million units and transmission volume to five million per annum. It also has a plant in Shandong province.

Meanwhile, Spyker has posted a net loss of €76.3 million ($A103m) in the first quarter of 2011 due the travails of Saab.

The company said it had sold 9393 vehicles in the quarter – up 167 per cent on the same period last year, when it was still sealing the deal to buy Saab from GM.

Saab’s Q1 revenue reached €257 million ($A348m), up from €43 million ($A58.3m) in the same period last year.

Last year, Saab lost €218 million ($A298m) for the 2010 calendar year and said it expects another loss in 2011 before returning to profitability in 2012.

[vztrt]

http://www.autoblog.com/2011/05/03/s...ake-to-hawtai/

Official: Saab sells 30-percent stake to Hawtai

by Zach Bowman (RSS feed) on May 3rd 2011 at 9:56AM Breaking

Swedish automaker Saab has officially confirmed that the company has sold up to a 29.9 percent equity share to Chinese automaker Hawtai Motor Group Company Limited. The €150 million deal includes a €120 million subscription deal for 24.6 million shares of Saab, as well as a €30 million convertible loan. The deal still needs approval from various Chinese and European agencies, including the European Investment Bank and the Swedish National Debt Office. According to Saab, if finalized, the deal will provide mid-term financing for the company's operations and open up inroads into the thriving Chinese auto market.

Hawtai was only founded ten years ago, though its two production facilities have a combined capacity of 350,000 vehicles, 300,000 clean-diesel engines and 450,000 automatic transmissions. The company says that it plans to up its production capacity to 1 million vehicles by 2015.

According to USA Today, Saab CEO Victor Muller expects Chinese regulators to approve the deal within six to 12 months. Hit the jump for the full press release.
[Source: Saab via USA Today]

PRESS RELEASE

Saab Automobile Enters Agreement With Hawtai Motor Group On Strategic Partnership

Trollhättan, Sweden: Following yesterday´s announcement that Spyker Cars N.V. (Spyker) secured its short term funding, Spyker announces today that Spyker and Saab Automobile AB (Saab Automobile) signed an agreement with Hawtai Motor Group Company Limited (Hawtai). This agreement conditionally secures medium term funding and includes financing in the form of subscription agreements in the amount of EUR 150 million as well as a strategic alliance for China including joint ventures on manufacturing, technology and distribution.

Spyker, Saab Automobile AB and Hawtai Motor Group sign agreement on strategic alliances partnership with respect to manufacturing, technology and distribution in China, subject to definitive transaction documentation.

Spyker will enter into a subscription agreement with Hawtai in the total amount of EUR 120 million for in aggregate 24.6 million shares as well as a EUR 30 million convertible loan, subject to definitive transaction documentation and certain conditions.

As a part of the transaction Hawtai will invest EUR 120 million for up to a maximum of a 29.9 percent equity stake in Spyker on a fully diluted basis. The remaining EUR 30 million will be in the form of a convertible loan agreement in the amount of EUR 30 million with a 6 month maturity, an interest rate of 7% per annum and a conversion price of EUR 4.88 per share. The transactions are subject to agreement on definitive transaction documents and certain conditions, which include consents from certain Chinese governmental agencies, the European Investment Bank and the Swedish National Debt Office. As part of the transaction, Tenaci Capital will convert EUR 42 million of its current loan to Spyker into share capital in Spyker at EUR 4.88 per share, thereby substantially reducing Spyker´s interest burden.

Victor Muller, CEO of Spyker and Chairman of Saab Automobile, said: "The partnership with Hawtai allows Saab Automobile on the one hand to continue executing its business plan since we secured the required mid-term financing subject to meeting certain conditions, whilst on the other hand it allows Saab Automobile to enter the Chinese car market and establish a technology partnership with a strong Chinese manufacturer.

"We expect that Saab's unique brand values based on its aviation heritage, Scandinavian origins and innovation-driven character will do very well in the Chinese market. Our driver-oriented vehicles appeal to a whole new group of independently thinking customers who appreciate Saab's advanced designs, safety and responsible performance.

"With Hawtai's clean diesel engine technologies and production capacity, and its ambitious development programs, we have found the right partner to develop the Saab business and build a solid relationship."

Mr Richard Zhang, Vice President of Hawtai, said: "This is a great day for our relatively young company which was founded ten years ago. The partnership with the iconic Saab brand will give us access to innovative technologies and an international network which would have taken us decades to build. On the other hand we have a very strong Chinese manufacturing and distribution infrastructure which we will make available to our new partner Saab Automobile. Our participation in Spyker, Saab's parent company, demonstrates our commitment to the future of Saab Automobile as a premium European car manufacturer."

Founded in 2000, Hawtai is a China-based privately-owned automotive company with its headquarters and R&D centre located in Beijing, and two production facilities located in Ordos, Inner Mongolia and Rongcheng, Shandong Province. Hawtai currently has an annual production capacity of 350,000 vehicles, 300,000 clean diesel engines and 450,000 automatic transmissions. By 2015, Hawtai aims to have raised this capacity to 1 million vehicles, 1 million engines and 1 million automatic transmissions, and to have established itself as a global leading automotive company.

[vztrt]

http://www.caradvice.com.au/117443/s...t-from-hawtai/

Saab secures 150 million euro investment from Hawtai
By Brett Davis | May 4th, 2011

Chinese automobile manufacturer Hawtai has announced it will invest 150 million euro ($205 million) into Spyker Cars (owner of Saab) as part of a deal that will see the Chinese company take a 29.9 percent stake in the Swedish brand. The funds will help Saab restart production at its plant in Trolhattan, Sweden.

With the Chinese company now having some control over the direction of Saab, both companies will now focus on introducing the brand into Chinese markets. Victor Muller, Spkyer CEO, recently announced,

“The partnership with Hawtai allows Saab Automobile on the one hand to continue executing its business plan since we secured the required mid-term financing subject to meeting certain conditions, whilst on the other hand it allows Saab Automobile to enter the Chinese car market and establish a technology partnership with a strong Chinese manufacturer.”

“We expect that Saab’s unique brand values, based on its aviation heritage, Scandinavian origins and innovation-driven character will do very well in the Chinese market.”

According to reports, Hawtai initially sought a deal with Saab for the potential access to technology sharing and automotive development. The Chinese company also sees Saab as a gateway to the European network. As part of the deal, Hawtai is providing a 30 million euro convertible loan on top of the 150 million euros.

To bolster the recovery even more, yesterday a Lithuanian investment fund and Russian businessman Vladimir Antonov, announced an investment deal of 60 million euros ($82 million) into Spyker Cars and Saab.

It sounds like Saab is well on the road to recovery now, with production at the Trolhattan plant expected to recommence sometime next week. The plant has been closed for the past month due to various outstanding supplier bills.

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http://www.autoblog.com/2011/05/04/s...with-global-t/

Report: Saab to celebrate Chinese and Russian partnerships with global tour

by Jeff Glucker (RSS feed) on May 4th 2011 at 3:32PM

So far in 2011, Saab has been riding a ragged roller-coaster filled with major ups and downs. Just recently, however, things have been trending more positively. Saab inked a deal with Chinese automaker Hawtai that will pump in millions of dollars, and open up major inroads to the vastly expanding auto industry in China. The Swedish automaker is understandably excited by this new deal, and has decided to embark on a global tour to highlight its new partnerships.

Besides discussing its new manufacturing teammate Hawtai, Saab will also bring Russian investor Vladimir Antonov along for the ride, once his deals have gone through. Victor Muller, Saab Chairman, wants the world to meet Saab's newest partners. All involved parties will be hitting the road to reach out to the world-wide media, once all respective deals have been finalized and approved.
[Source: Automotive News ? sub. req. | Images: Torsten Silz/Getty]

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http://www.goauto.com.au/mellor/mell...257888001B1A5A

Saab Australia to consider Hawtai imports

Chinese-made Hawtai cars a chance for Australia alongside Saab’s Euro line-up

6 May 2011

By RON HAMMERTON

SAAB’S Australian distributor has confirmed it will look into importing Chinese-made Hawtai cars from Hawtai Motor Group – Saab Automobile’s new global partner and part owner.

Saab Cars Australia (SCA) managing director Stephen Nicholls told GoAuto that while Chinese-made Saabs were off the agenda for Australia, Hawtai’s own-brand vehicles were “obviously something we would look at” for a separate sales channel alongside the Saab import business.

The Chinese brand – which has publicly expressed an interest in launching its product range in Australia – this week signed an agreement to buy up to 29.9 per cent of Saab’s parent company Spyker Cars NV for €120 million ($A163m), while also lending Saab €30 million to help resuscitate the Swedish brand’s production which stalled last month due to unpaid bills at parts suppliers.

The arrangement paves the way for Chinese production of Saab cars in a joint-venture with Hawtai, starting with the next-generation Saab 9-3 – Saab’s best-selling model – from 2013.

While the Saab-badged cars made in China are strictly for the Chinese market, Hawtai is looking west for export markets for its newly-minted Hawtai-branded three-model range of cars and SUVs that ultimately could benefit from a new technology agreement with Saab.

A Hawtai executive told Australian journalists at the recent Shanghai motor show that it was planning to build right-hand-drive products for markets such as Hong Kong and Australia.

Mr Nicholls said an importing arrangement with Hawtai had not been discussed, as the new strategic alliance had just been announced.

“It is a hypothetical at the moment because nothing has been formally discussed about that,” he said.

“I guess that there could be economies of scale and synergies for setting up an import operation, but we would be looking obviously to maintain a complete brand separation.

“But it is theoretically a possibility that we could do something with the back office and maybe also potentially look at sharing network, but it is nothing that has been discussed.

“We are open to any discussions like this. But it is a little a little premature.”

Other Australian importers are introducing Chinese brands alongside their existing franchises – a path that Mr Nicholls said SCA might consider.

“There would obviously be a number of options for anybody coming into that space, but it is obviously something that we would look at depending on how things look down the track,” he said.

In China, the 11-year-old, privately owned Hawtai Motor Group is an automotive spin-off from the large Hawtai industrial conglomerate that has interests in a wide range of industries from chemicals to logistics.

The company started building Hyundai SUVs for China in 2003, offering Terracan and Santa Fe models – vehicles that it still builds.

Last year, its Hawtai-Hyundai Santa Fe was China’s fifth best-selling SUV, trailing only the Honda CR-V, Great Wall Haval H (X240 in Australia), Toyota RAV4 and Toyota Highlander (Kluger).

However, Hawtai is reported to have recently scaled back its joint-venture links with Hyundai, which has a strong relationship with China’s third biggest motor company BAIC (Beijing Automobile).

Last year, Hawtai ventured into its own products, starting in December with an upmarket sedan, the large B11 that is 50mm longer than a Holden Commodore, followed this year by the smaller but also luxurious – by Chinese standards – mid-sized B21.

Later this year, it will launch an SUV, the Mazda CX-7-sized B35 Boliger, which is said to be built on a superseded Santa Fe platform bought from its former partner.

With Jaguar-style grilles, generous dimensions and luxury interiors, Hawtai clearly has aspirations to reinvent itself as a prestige car-maker – hence the Saab deal.

It also has set its eyes on being the largest producer of ‘clean’ diesel car engines in China, where most passenger cars and SUVs still run on petrol.

Hawtai says its engines have been developed using technology from Italy’s diesel specialist, VM Motori, and although only one diesel – a 110kW/310Nm 2.0-litre four-cylinder – is listed among its models, others, including a 1.5-litre three-cylinder and 3.0-litre V6, are said to be in the pipeline.

The company also sources a 118kW/215Nm 1.8-litre turbo-petrol engine from China’s biggest car-maker, SAIC – the major partner of General Motors and Volkswagen in China – which fits it to its Roewe 550.

Hawtai also offers Mitsubishi-sourced 2.4-litre and 2.0-litre four-cylinder petrol engines producing 121kW/217Nm and 106kW/183Nm respectively. These engines are widely used by independent Chinese car-makers such as Great Wall and JAC.

The new venture with Saab is likely to open up new avenues for petrol engine technology, as Saab is a world leader in four-cylinder turbocharged petrol engines.

Like Saab, Hawtai has forged strong links with German-based transmission maker ZF, producing four-speed ZF automatics under licence in China. A six-speed automatic transmission is also said to be under development by Hawtai, and it might make its debut in the B35 Boliger in the fourth quarter of this year.

Hawtai also makes a five-speed manual transmission at its Inner Mongolia factory, where it is proposing a dramatic expansion to not only greatly grow engine and transmission production but also increase its car-production capacity to 500,000 units a year.

The Hawtai B11 – the company’s first sedan – was launched with aggressive pricing in December after being shown at last year’s Beijing motor show.

With styling that is clearly a nod to Britain’s finest limos, the B11 is a Commodore-crunching 4943mm long and 1852mm wide, making it one of the biggest domestic-developed Chinese cars.

Three Euro 4 engines are offered – the 1.8-litre turbo-petrol from SAIC, the Hawtai-built 2.0-litre diesel and Mitsubishi-sourced 2.4-litre diesel.

It comes in three specification levels – standard, comfort and luxury – with the base model offering power windows, six-speaker stereo, air-conditioning, alloy wheels, front airbags, four-wheel disc brakes with ABS, parking sensors and five three-point seatbelts.

The mid level adds items such as side and curtain airbags, a DVD player with seven-inch screen, sunroof, rear-view camera, cruise control and climate-control.

The luxury level comes armed with leather upholstery, heated front seats, electronic stability control, a bigger DVD screen, satellite-navigation, Xenon automatic headlights and LED tail-lights.

The smaller Hawtai B21, at 4777mm long - 38mm shorter than a Toyota Camry – gets a choice of the 2.0-litre diesel or 2.0-litre Mitsubishi petrol engines mated with either the five-speed manual or four-speed automatic transmission, along with the same three levels of specification – standard, comfort and luxury.

The five-seat B35 Boliger crossover, which is expected be launched with the same three engine choices as the flagship B11, rides on a MacPherson strut front-end, multi-link rear suspension and big 20-inch wheels.

The production-ready vehicle shown at the Shanghai motor show recently was the luxury level, but standard and comfort models are expected.

The high-riding Boliger has been described as a Porsche Cayenne knock-off, but it gets the same Jaguar-style mesh grille as the two sedans, giving the three vehicles a solid family resemblance.

Hawtai, which is based near Beijing, says it has a research and advanced engineering centre in Europe, with links to major European suppliers Bosch, Magna and Continental.

[vztrt]

http://theage.drive.com.au/motor-new...513-1elrz.html

Saab future in doubt after rescue deal collapses
Peter McKay
May 13, 2011 - 3:09PM

Turmoil continues for Swedish brand aftr Chinese car make cancels 150m euro deal.

The future of iconic Swedish car brand Saab is again clouded after a timely 150 million euro rescue deal with Chinese car maker Hawtai has crashed and burned just 10 days after the announcement.

Officially, the reason [from the Saab end] is that Hawtai was unable to satisfy Saab's owner, Dutch supercar specialist Spyker Cars.

But an insider in Gothenberg says the deal may have foundered because Victor Muller, the CEO of Spyker cars and chairman of Saab Automobile, "breached Chinese business etiquette or maybe even because they just don't trust him".
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While some reports suggest that Hawtai and Saab are apparently still in talks, the plan unveiled last week is now off the table.

Steve Nicholls, the managing director of Saab Australia, admitted "the situation was not 100 per cent clear with me, either".

But his understanding is that an exclusivity clause in the memo of understanding with Hawtai expired with certain approvals not forthcoming.

This means Spyker/Saab is free to talk to other parties, although "Victor Muller is still talking with Hawtai".

Nicholls said that Muller was in Beijing today.

The strategic funding and partnership agreement between Hawtai and Spyker was terminated just hours after Hawtai executives inspected the Saab production facilities. Maybe they didn't like what they saw.

The agreement between the two parties, signed on May 2, conditionally secured medium-term funding in the amount of 150 million euros as well as a strategic alliance for China including joint ventures on manufacturing, technology and distribution. Hawtai was to take up to a maximum of a 29.9 per cent equity stake in Spyker.

At the time Muller was optimistic, saying, "The partnership with Hawtai allows Saab Automobile ... to enter the Chinese car market and establish a technology partnership with a strong Chinese manufacturer."

Muller also saw benefits in access to Hawtai's clean diesel engine technologies and production capacity, and its ambitious development programs.

On the Hawtai side, vice president Richard Zhang, enthused: "This is a great day for our relatively young company which was founded 10 years ago. Our participation in Spyker, Saab's parent company, demonstrates our commitment to the future of Saab Automobile as a premium European car manufacturer."

That commitment lasted 10 days...

Spyker and Saab Automobile are still working on securing short- and medium-term funding to keep the Saab plant running and 3800 staff employed.

Our Swedish insider who has watched the Saab soap opera closely says Saab is now talking to other Chinese car makers, Great Wall, Jiangsu Yueda and Youngman Automotive Group. But he hints that the growing feeling around Trollhattan is that perhaps it's time to bury the troubled brand forever.

[vztrt]

http://www.autoblog.com/2011/05/12/s...ner-collapses/

Report: Saab deal with Chinese partner collapses

by Chris Shunk (RSS feed) on May 12th 2011 at 9:56AM

This is very bad. Remember the deal between Hawtai Motors and Saab? Collapsed. According to The Detroit News, the deal, which involved a 29.9 percent stake in Saab in exchange for $172 million, fell apart early Thursday morning. The problem was reportedly that Hawtai wasn't able to obtain all the stakeholder consent needed, forcing the Chinese automaker to terminate the pact. Saab and Hawtai are reportedly continuing to work on resurrecting a deal, but the Swedish automaker has said in a statement that the talks are no longer exclusive.

Meanwhile, Saab is still in talks with the European Investment Bank to complete a $41 million loan drawdown. Saab is reportedly waiting on the green light to sell some of its property, since the land is currently used as collateral with the Swedish National Debt Office. The battered brand has secured a $48 million Swedish government loan to keep the doors open for the short term, and the automaker is reportedly still looking to strike a deal with Russian investor Vladimir Antonov.

Will the collapse of the Hawtai Motors deal lead to the final demise of the rope-a-dope automaker? We're not so sure – Saab's been something of a financial Houdini over these last 18 months, and the automaker appears to have deals cooking all over Europe. Either way, we're guessing that Priority Number One at Saab is finding a new Chinese partner to help secure the future of the company.
[Source: Detroit News]

[vztrt]

Saab’s Chinese rescue deal collapses

Saab back in talks with prospective Chinese partners after Hawtai deal falls through

13 May 2011

By TERRY MARTIN

THE future of Saab Automobile is again in doubt after the company’s rescue deal and proposed strategic partnership with China’s Hawtai Motor Group collapsed overnight.

Hawtai signed an agreement with Saab parent Spyker Cars on May 3 to inject €150 million ($A200m) into the struggling Swedish manufacturer in a bid to resume production at Saab’s Trollhattan plant and to develop a new vehicle platform that would underpin its crucial next-generation 9-3 and other future models.

In return, the privately owned, Beijing-based Hawtai was to take a 29.9 per cent stake in Spyker and secure the rights to produce and distribute Saab vehicles in China, as well as share technology.

In a statement released last night, Spyker said “discussions are ongoing” with Hawtai but that the agreement “with respect to funding and strategic partnership” had been terminated due to a failure to obtain the necessary approvals for the deal from stakeholders, which included the Chinese and Swedish governments and the European Investment Bank.

Spyker and Saab management have now resumed negotiations with other potential alliance partners in China, saying that the state-owned BAIC – which was part of an unsuccessful bid to purchase Saab from General Motors in 2009, but owns the rights to certain Saab technologies – “does not have any problems with Saab’s ongoing discussions with other Chinese partners”.

Saab and its Dutch-listed parent said they were continuing “to work on securing short and medium term funding” and were negotiating equity and debt financing and/or technology licensing “with various (strategic) Chinese partners”.

According to the Reuters news agency, one of these is Great Wall Motors.

In announcing the collapsed alliance with Hawtai, Spyker reiterated that the deal was always subject to “definitive transaction documentation and certain conditions, which included the consent of different stakeholders”.

“Since it became clear that Hawtai was not able to obtain all the necessary consents, the parties were forced to terminate the agreement with Saab Automobile and Spyker with immediate effect,” the company said.

“The parties will continue their discussions about a possible co-operation, however now on a non-exclusive basis.

“As a result of this termination, Saab Automobile may enter into a strategic partnership with Hawtai or another Chinese party on manufacturing, technology and distribution in China.”

Russian businessman and former major shareholder of Spyker, Vladimir Antonov, told Reuters via a spokesperson that he was still interested in investing in Saab.

As GoAuto has reported, Mr Antonov recently received approval from the Swedish National Debt Office to invest in Saab after previously being disallowed following claims he was connected with Russian mafia.

Spyker also said this week that discussions were continuing with the European Investment Bank (EIB) “on completion of the current €29 million ($A38.8m) drawdown under the EIB loan facility, on obtaining EIB consent for the sale of Saab property released under the collateral of the Swedish National Debt Office and on various conditions proposed by the EIB”.

“As soon as the EIB drawdown or other equivalent funding is confirmed, Saab Automobile plans to restart production depending on the outcome of discussions with its suppliers on terms to resume supplies of materials and services to Saab Automobile,” Spyker said.

The production lines at Saab’s Trollhattan plant ground to a halt last month when unpaid parts-makers refused to deliver components until the cash-strapped company settled their bills.

The Saab brand returned to Australia earlier this year under Spyker-owned distributor Saab Cars Australia, and launched the long-awaited all-new 9-5 luxury sedan last month.

[vztrt]

http://www.caradvice.com.au/118612/s...eal-collapses/

Saab, Hawtai 150 million euro deal collapses
By Brett Davis | May 13th, 2011

Last week CarAdvice reported that a deal had been made between Chinese auto manufacturing company Hawtai and Spyker, which included a 150 million euro ($200 million) investment into Saab. The deal would have helped kick-start production at Saab’s Trolhattan plant in Sweden. The deal has now collapsed.

Hawtai was planning to invest 150 million euro into Spyker (Saab’s owner) and take a 29.9 percent ownership of the company. These funds would have helped Saab pay outstanding supplier’s bills and continue production of its cars. Spyker has just announced the deal won’t be going through as approval on Hawtai’s part couldn’t be finalised.

Key stakeholders in Hawtai couldn’t all approve of the investment which has left Saab, unfortunately, clinging by the threads again. It’s a shame as Saab’s future was starting to look bright after a couple of years in the shadows.

There is a bit of a positive spin on all this though. According to an insider source, Spyker and Great Wall Motors have been talking about a partnership deal as well. Talks were even had during the Hawtai deal. The source was quoted as saying in Automotive News,

“It could be mutually beneficial if Great Wall and Spyker team up eventually. The Chinese partner has the cash that Spyker needs, while Saab’s technologies and its network in Europe are valuable for the Chinese side.”

It’s unknown if a potential deal between the two has been pitched. If one has, it will need to win Chinese government endorsement, a process which is often time consuming and also has the potential to collapse.

Great Wall is apparently interested in partnering as it could use Saab’s European network to introduce Great Wall cars into parts of Europe, and to gain access to Saab technology.

We’ll keep you updated.

[vztrt]

http://www.autoblog.com/2011/05/12/s...reat-wall-mot/

Followup: Saab on the money hunt, still in discussions with Great Wall Motor?

by Jeff Glucker (RSS feed) on May 12th 2011 at 2:31PM

Earlier this morning came word that Saab's deal with Chinese automaker Hawtai had fallen apart. While in discussions with Hawtai, parent company Spyker was evidently also talking with another automaker located in China – Great Wall Motors. According to Reuters, those talks have apparently never ended, and, in light of today's news, we're going to speculate that it's time to escalate the discussion or officially turn off the lights at Saab assembly plants.

Great Wall has cash and Saab has cars, technology and a dealer network. The two companies could be mutually beneficial, but there are hurdles to overcome before anything can actually happen. The Chinese government must approve a foreign joint venture before it moves forward. Still, it's a good sign that companies are still interested in working with Spyker, and that could keep Saab alive.

Spyker isn't simply pinning all of its hopes on Great Wall, as other Chinese companies are also on its radar. Besides a potential Chinese investor, however, Spyker and Saab are still hoping to see their European Investment Bank drawdown approved. Once either scenario plays out favorably, Saab can resume producing automobiles.
[Source: Reuters | Images: Thomas Johansson/AP]

[janddbone]

Sounds like the exact problem that MG Rover went through, sadly there cars were not based on an brand new GM platforms that could be easily kept up to date...

[vztrt]

http://www.autoblog.com/2011/05/13/g...es-saab-talks/

Report: Great Wall Motors denies Saab talks

by Zach Bowman (RSS feed) on May 13th 2011 at 2:30PM

According to The Detroit News, Chinese automaker Great Wall has made it clear that the company has not been in talks with Saab over a potential partnership. After word trickled down that a $233-million deal between the Swedish automaker's parent company, Spyker, and Hawtai Motor Group imploded, rumors of various other Chinese suitors have cropped up in a serious fashion.

Spyker said that Hawtai was forced to back out of the arrangement due to the company's inability to obtain proper government consent, while Hawtai denied those claims. Instead, the Chinese automaker said that claim in a statement by saying that the true issues were commercial and economic realities.

Meanwhile, both BAIC and China Youngman Automobile Group have said that they aren't in negotiations with either Spyker or Saab at this time. The Detroit News reports that BAIC recently bought the rights to some Saab technology, though the automaker said that no further discussions had been made about the future of the relationship between the two organizations.
[Source: The Detroit News | Images: Nikolay Doychinov/AFP/Getty]

[Bossxr8]

Sounds like SAAB are in deep doodoo.

Better off to let them die, SAAB is a nothing brand. Too damaged now.

[drew`SEVNT5]

Originally Posted by Bossxr8

Sounds like SAAB are in deep doodoo.

Better off to let them die, SAAB is a nothing brand. Too damaged now.

I disagree. Saab will be around longer than the *aussie* falcon in the future...

And it is GM's mismanagement that has driven them to this point.

[vztrt]

Originally Posted by drew`SEVNT5

I disagree. Saab will be around longer than the *aussie* falcon in the future...

And it is GM's mismanagement that has driven them to this point.

It seems they've driven them to a point where every company looks at them as toxic.

[vztrt]

http://news.theage.com.au/breaking-n...516-1epm4.html

Saab, Spyker announce auto deal in China
May 16, 2011 - 5:29PM

Sweden's Saab and its Dutch owner Spyker have signed an outline deal with China's Pang Da Automobile covering a distribution and manufacturing joint venture, Spyker said on Monday.

"The memorandum of understanding includes a strategic alliance consisting of a 50-50 distribution joint venture," Spyker said in a statement.

The deal also covers "a manufacturing joint venture (MJV) for Saab branded vehicles as well as for an MJV-owned brand (the so-called 'child brand') in China," the statement said.
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The announcement comes less than a week after Spyker said a deal with Chinese carmaker Hawtai had fallen through.

© 2011 AFP

[vztrt]

Saab saved – again

http://www.goauto.com.au/mellor/mell...25789200815519

China’s Pang Da emerges as Saab’s new saviour, just days after Hawtai deal failed

17 May 2011

By TERRY MARTIN

THE ongoing saga over the future of Saab Automobile took a new turn this week with the announcement by parent Spyker Cars that it had forged a €95 million-plus ($A127.2m) deal with the large Chinese retail group Pang Da Automobile Trade Co.

Just four days after the previous rescue deal and proposed strategic partnership with China’s Hawtai Motor Group collapsed, the Dutch-based Spyker said it had signed a memorandum of understanding with Pang Da that should secure its “medium-term” funding needs.

Under the deal, Pang Da – which is described as China’s largest publicly listed automobile distributor with more than 1100 dealerships nationwide – will pay €65 million ($A87m) for a 24 per cent stake in Spyker Cars and make an additional €30 million ($A40.2m) payment to purchase Saab cars for sale in China.

It also has the option to buy up to €15 million worth of more Saab cars within 30 days.

If approved, the agreement will form the basis of a 50/50 joint venture between Spyker and Pang Da for the distribution of Saab-branded vehicles in China.

The memorandum also includes a manufacturing joint venture for Saab vehicles as well as those to emerge under a new Chinese brand established between Saab Automobile, Pang Da and a still-to-be-selected manufacturing partner.

Saab Automobile will be allowed up to a 50 per cent shareholding in the manufacturing JV, with Pang Da and the manufacturing partner to own the remaining shares.

The short-lived deal with Hawtai was struck on May 3 in a bid to resume production at Saab’s Trollhattan plant and to develop a new vehicle platform that would underpin its crucial next-generation 9-3 and other future models.

In return, the privately owned, Beijing-based Hawtai was to take a 29.9 per cent stake in Spyker and secure the rights to produce and distribute Saab vehicles in China, as well as share technology.

According to Spyker, the €30 million in cash from Pang Da should enable it to pay the debts owing to suppliers and restart production in Sweden “as soon as possible”.

There is, however, no definitive word at this stage on future vehicle platform architecture.

As was the case with Hawtai, the Pang Da deal is subject to “definitive transaction documentation and certain conditions”, which include approval from Chinese government agencies, the European Investment Bank, General Motors (which sold Saab to Spyker last year, but still has ties to the company) and the Swedish National Debt Office.

Spyker Cars and Saab Automobile CEO Victor Muller said in a statement that the partnership would allow both Saab and Pang Da “to create a strong business, initially in the distribution and subsequently in the manufacturing of Saab vehicles in China”.

“Pang Da is a forward-looking, profitable and well-capitalised public company that, as the single largest automobile distributor in China, sees enormous potential for our brand in their home market,” he said.

“We will work hard to finalise the relevant agreements and firmly establish Saab in the world’s fastest growing car market. Pang Da taking a substantial equity stake in Spyker underlines their confidence in our plans for the future and China in particular.”

Pang Da CEO Pang Qinghua said: “This partnership allows us not only to distribute Saab, the iconic European premium brand, in China but also to set up a manufacturing joint venture which will further enhance the competitive position of the Saab brand in China.

“With the new products Saab has launched since it became an independent car manufacturer early last year, such as the all new Saab 9-5 and the Saab 9-4X which have been widely acclaimed, and not in the least the upcoming successor to the current Saab 9-3, we believe the timing is perfect for Saab to enter the Chinese market.

“Our size, financial strength and competence in addition to our ability to move fast will be crucial to Saab’s success in China.

“Having just gone public ourselves three weeks ago, we are delighted to have the opportunity to become a substantial shareholder in Spyker.

“We very much look forward to collaborating with Saab’s management to successfully enter our promising home market.”