In a week from today, Spyker are due to close the deal for the purchase of Saab Automobile from General Motors. Today sees another hurdle overcome, another step closer.
DI.se are reporting that the European Union has reviewed and approved Saab’s loan application with the EIB. The purpose of the EU review is to confirm that the guarantees provided by the Swedish government do not contravene EU rules on state aid. Basically, it means that the loan is bona fide and can go ahead, providing the EIB itself approves the application.
Note: this is not the EIB approval itself. It’s just the EU giving it the go-ahead from their perspective. The actual EIB approval will need to come this week, along with final confirmation of the loan guarantees from the Swedish National Debt Office.
And a quick thought……. If this decision had come around November 20, Saab would be owned by Koenigsegg by now.
A googletrans:
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EU approves state guarantee for loans Saab
Updated 2010-02-08 12:05
EU Commission on Monday approved the Swedish government plans to put out a guarantee that Saab Automobile to take a loan from the European Investment Bank for 400 million euros.
“The State guarantee will help Saab to implement its business plan without incurring any undue distortion of competition”, said Competition Commissioner Neelie Kroes said in a statement.
A smaller proportion, 17.2 percent, are not considered state aid since it is provided under market conditions.
Most of the guarantee, 82.8 per cent, satisfying the requirements of the EU’s temporary framework for state aid measures, EU countries to facilitate the financing during the current crisis.
The consideration for the guarantee that Saab will pay is sufficient. So is the security that it provides for the eventuality that the guarantee.
The EIB loan will co-finance the Saab’s business plan at General Motors sales to Dutch Spyker. The loan will be used for an investment of 1 billion euros, including for fuel efficiency and automotive safety.
It is planned to Saab to pay a fee for the guarantee and provide a guarantee of high quality to the Swedish government, which covers the entire amount guaranteed.
Swedish State can redeem the security on the forced payment of guarantee money.
The level of fees paid during the term of the loan complies with the Commission’s provisional framework.
For part of the guarantee, the lower portion of 17.2 percent, the Commission found that the annual fee of 12.48 per cent with the market given the current risks of the transaction and other conditions.
The Commission’s conclusion was therefore that this part of the guarantee did not involve any state aid.
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Excellent news.
Thanks!
looks like common sense approach is paying dividends.
Looks like the sale could be finalized during the Chicago show! The floor plan shows Saab in another building than the GM displays, and while I never miss the show, this is a real chance to enjoy the visit.
GO Saab GO !
THE NEWS JUST KEEPS GETTING BETTER AND BETTER…
…WITH LESS ROOM FOR THE DOUBTING THOMAS’s TO MANOUVERE!
SAAB UP!!
Another step towards being able to breathe freely. Good news to start the week
Does anybody know if the EIB is meeting this week?
Is the EIB waiting for a certain meeting to take the decision, or what ar they waiting for?
Yay!
))
YEEEAAHHH! GREAT NEWS ABOUT THE EIB LOAN….
Time to sing:
“We are not alone, Saab is here to stay…”
la la la la laaaa….
CONGRATULATIONS TO:
——————
SAAB (SAAB/SPYKER)
VICTOR MULLER
JAN-AKE JANSSON
SWADE
SAAB DEALERS AROUND THE GLOBE
ALL SAAB FANS AROUND THE GLOBE
Think I did well in humming this song few days back:
“IT’S A CELEBRATION”! Below – Part of the Lyrics:
There’s a party goin’ on right here
A celebration to last throughout the years
So bring your good times and your laughter too
We gonna celebrate your party with you
Come on now, celebration
Let’s all celebrate and have a good time
Celebration
We gonna celebrate and have a good time
It’s time to come together
It’s up to you, what’s your pleasure?
Everyone around the world come on!
&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&
…and presumably the production of the 9-5 would have been much less delayed.
But at least we still have a company producing cars we enjoy.
K
Sorry to disappoint you, but due its recent sale, Saab has chosen not to display at the 2010 Chicago Auto Show.
http://www.chicagoautoshow.com/vehicles/detail.asp?type_id=3&make_id=44&vehicle_id=865
Still two major steps to take:
1. EIB approval
2. Spyker needs to get approval of the shareholders during a extraordinary general meeting (February 12th).
BEST NEWS EVER – EIB LOAN APPROVED!!!
***SAAB RULES THE WORLD… ***
SAAB employees, fans, dealers – BEST PEOPLE EVER
VICTOR M. – Dank U wel (thanks in dutch)
Think we ought to learn dutch now i Trollhattan
How about naming coming SAAB models:
-SAAB VICTORY
-SAAB SWADE
-SAAB CELEBRATION
-SAAB SPIRIT
-SAAB CONVOY
xxxxxxxxxxxxxxxxx
SAAB – WITH A SOUL OF IT’S OWN
CONGRATULATION TROLLHATTAN!!!
Ooops – got it wrong… thought this was the final!
-just seeing it was EU that had approved, not yet EIB, sorry guys, have to put the celebration on hold few days more…
I keep on humming the song “Celebration” in the meantime….
another step in the right direction
another step in the right direction
another step in the right direction
Well, that will make for some soggy corn flakes this morning. I guess it better to know now than to walk in to no display. I’ve waited this long so going to see the 9-5 at a dealership in a few months won’t be a big deal but I feel like that’s an opportunity lost at the most attended show at in the US.
This is though the Mother of hurdles. We have been waiting for it forever. As Swade wrote Koenigsegg would have been SAABs new owners if the approval had come sooner.
The shareholders are very likely to approve since the shareprices has gone up since VM
In the TTELA version of this TT telegram, there is also a comment from J
In the TTELA version of this TT telegram, there is also a comment from J
In the TTELA version of this TT telegram, there is also a comment from J
Works for me. Good to hear.
I’d say this is great news. This whole deal just got a huge thumbs up and we can’t be anything less than happy for it. Now we need the EU to get on their horses and wrap this up. I’m feeling confident now.
On this link, there is a TTELA article about the showing of the new 9-5 at the Saab museum this weekend. I found this comment interesting. It is made by Kjell-
On this link, there is a TTELA article about the showing of the new 9-5 at the Saab museum this weekend. I found this comment interesting. It is made by Kjell-
On this link, there is a TTELA article about the showing of the new 9-5 at the Saab museum this weekend. I found this comment interesting. It is made by Kjell-
Another big step on the way towards indepenence.
Go Victor, bring the ship to port!
And everybody who has plans for a new Saab: order now (if already possible) to show filled order books when Spyker enters.
I cant wait until teh SAAB management people get back to work for real, I guess that Saab is still in the hands of the liquidators and we wont hear anything from Saab until the sale is signed.
http://europa.eu/rapid/pressReleasesAction.do?reference=IP/10/139&format=HTML&aged=0&language=EN&guiLanguage=en
The European Commissions own Pressrelease regarding the approval for the Swedish State Guarantee to SAAB
Someone needs to tell Vince Vitrano that SAAB is NOT dead!
http://www.todaystmj4.com/features/specialassignment/83654532.html
Good bit of news. Keep it going! Steady, now!
Cowboy UP!
It
I am always surprised when I hear that SAAB isn’t perceived as a premium brand. My impression is, that SAAB is not regarded very highly within Sweden. Here in Germany, I think SAAB is definitely counted to the premium brands, although its quirkiness places it outside the mainstream, which is why very few people actually consider buying a SAAB.
yep good to see your around,
This is really good news!
Somewhat off topic:
While driving on the longest road home from work today together with my dear wife she said: “I just love this car! What about a red one next time?” The car is our highly beloved 9-5 ;/)
SAAB Spyker UP!
Cheers from Norway
-Olav-
Always on the longest road home when out there with my SAAB. Always!
The success with the EU commission maybe explains why the Swedish government has been so reluctant to show support for SAAB. If the Swedish government had shown full support all the way through without being critical, maybe the EU offices would have rated the loan guarantee as being to supportive.
This is something that probably doesn’t exist outside the EU: the commission may forbid a government to save (support) one of it’s country’s companies because it rates free competition higher than keeping an industry alive.
So, one should bear in mind that this decsion has nothing to do with the SAAB business plan being sound or not. And I think it has nothing to do with the credibility of the new owner. It is just about the loan conditions being typical in comparison to what SAAB would get on the free market.
After what we’ve heard about the deal, this seemed to be the main obstacle remaining. For the contract conditions, business plans etc. have been checked over and again, but the EU commission’s decisions are hard to predict sometimes.
As for Koenigsegg, I am not sure whether that would have helped. For the problem seemed to be with the money, and the money is not there yet. My impression was that everybody discussed the EIB deciding about SAAB’s business plan, while everybody took for granted that once the EIB will approve, the money will come. Not so, for there needed to be an EU approval in addition, viewing the whole thing from a totally different perspective. Besides, we’ve heard something about there beeing a contract condition that made Koenigsegg to withdraw immediately. It will be interesting to hear what this was about in the future.
So keep fingers crossed, we can see the finish line already!
Whats’ more in the article:
Elegance and tasty forms, technical features, phenomenal sound system – but on the new Saab 9-5 will be the big seller that Saab enthusiasts are hoping for remains to be seen. First, this summer the new 9-5 can be bought in stores.
- Every week that goes means reduced revenues, it is a disaster. We are hit by delays we can not do anything about, it is extremely serious. But customers are interested, it is noticeable especially at dealerships and on the premises here, said Kjell-Ake Eriksson, head of Saab’s sales and service operations in Sweden.
—————————
No new 9-5 to buy before this summer? That’s several months more to wait……. :-@ Oh well, we know the guys and gals at SAAB are doing their best so we’ll wait. Yes, we will wait. Take your time SAAB and build the 9-5 properly!
Cheers from Norway
-Olav-
Always on the longest road home when out there with my SAAB. Always!
Well, “premium” is admittedly a very fuzzy definition. I guess in some aspects, Saab is a premium brand in Sweden as well. It’s certainly more so than the likes of Opel, Renault etc. My point was really that Saab isn’t anywhere near as well regarded as Audi at the moment, and so Saab can’t charge as much as Audi either. Audi has worked hard to get to where it is, and Saab can’t assume that they can just step up to that level in one stride, without putting in the groundwork.
Well, “premium” is admittedly a very fuzzy definition. I guess in some aspects, Saab is a premium brand in Sweden as well. It’s certainly more so than the likes of Opel, Renault etc. My point was really that Saab isn’t anywhere near as well regarded as Audi at the moment, and so Saab can’t charge as much as Audi either. Audi has worked hard to get to where it is, and Saab can’t assume that they can just step up to that level in one stride, without putting in the groundwork.
An encouraging comment fom the national debt office (from DN.se):
http://www.dn.se/ekonomi/beslutet-tummen-upp-for-riksgalden-1.1041652
Another piece of required good news! Another item on the “to do” list checked off. Can’t wait for the 15th!
The SNDO has already granted the EIB, see Saabhistory.com’s post today
Provisional approval was given prior to the Spyker deal, but final approval was contingent upon there being no changes of significance being discovered under a full investigation from the SNDO. That’s happening right now and according to Joran Hagglund, should definitely be completed by the end of this week. – SW
Fantastic news.
Does anyone know what I can take for SAAB withdrawal symptoms. Am off on vacation for three weeks and will be without my beloved SAAB?
Of course I will be checking SU everyday I am gone!
Maybe I need to take a drive out somewhere today.
Griffin Up!!
That’s not quite true, I’m afraid. The Debt Office gave preliminary approval some weeks ago, but they are currently doing a renewed inspection to see if anything has changed since then. There are details, like e.g. GEM’s part in the financing, that wasn’t known the last time. But from what we’ve heard so far, nothing has come up yet that changes the previous positive assessment. Swade covered this briefly on the 4th, here.
There are two real hurdles remaining (that I know of, anyway): The Debt Office’s final vetting and the final approval from the EIB itself.
That’s not quite true, I’m afraid. The Debt Office gave preliminary approval some weeks ago, but they are currently doing a renewed inspection to see if anything has changed since then. There are details, like e.g. GEM’s part in the financing, that wasn’t known the last time. But from what we’ve heard so far, nothing has come up yet that changes the previous positive assessment. Swade covered this briefly on the 4th, here.
There are two real hurdles remaining (that I know of, anyway): The Debt Office’s final vetting and the final approval from the EIB itself.
Your wife has a real good taste
Good news,
Nothing should stop the deal now.
It means I can remove my Save Saab sticker from the rear window in a couple of days (-:
For me the deal is done when it is done. All papers signed, liquidators back home, 9-5 body tooling in THN…
I had a short break from SU as I had to catch up with my work. I have realized how much work wasn’t done due to uncertainty while waiting for the news on Saab future.
Off course
Cheers from Norway
-Olav-
Always on the longest road home when out there with my SAAB. Always!
Good news and bad news!
Good news, of course: now SAAB belongs to SPYKER and shutdown is off. O-kay !
Bad news (or relevant news) :
“Most of the guarantee, 82.8 per cent, satisfying the requirements of the EU’s temporary framework for state aid measures” : the garanty of SW. State is guaranteed by SAAB valuables.
and…
“For part of the guarantee, the lower portion of 17.2 percent, the Commission found that the annual fee of 12.48 per cent with the market given the current risks of the transaction and other conditions.”.
SO what is “french approach” here?! Nothing, no risk at all! And SW. gouvernement told SAAB what they have to make with its guarantee…
This is amazing for my french point of view, when you know that FR. State has directly helped RENAULT and PEUGEOLT with 6 Billions
Party time!
Bit off topic, maybe not off topic at all (else: sorry Swade): Muller found himself another 18 million euro by its old employer:
ZEEWOLDE – Sports car manufacturer Spyker has provided more funding for the acquisition of the Swedish car manufacturer Saab.
CEO Victor Muller has his old employer Heerema willing to provide a for the remaining 25 million U.S. dollars (more than 18 million euros) to. The offshore company gives a loan in return for shares. Spyker announced Monday. With the private loan to Spyker, the necessary financing for the acquisition comes round. Last month Spyker already transferred 25 million U.S. dollars to the U.S. car group General Motors, which wanted to stop its subsidiary Saab. Mid July it has to pay an additional 24 million U.S. dollars.
CEO Muller, became a hero in Sweden because he saved Saab, worked between 1984 and 1991 for Heerema. The head of the offshore company, Pieter Heerema, expects a good return in the investment when Spykers conducts it;s business plan.
Sources:
http://www.nu.nl/economie/2179983/meer-financiering-saab-deal-spyker.html
Press release:
http://www.spykercars.nl/download/artikel/Statement_SAAB_Feb_080210_final.pdf
The financial part is done…
More funding Saab Spyker deal
ZEEWOLDE – Sports car manufacturer Spyker has provided more funding for the acquisition of the Swedish car manufacturer Saab.
CEO Victor Muller has found his old employer Heerema willing to loan 25 million U.S. dollars (more than 18 million euros).
The offshore company can convert the loan into shares, according to an announcement made by Spyker.
This means the funding necessary for the acquisition is done. Late last month Spyker has already paid 25 million US dollars to General Motors, which wanted to shut down its subsidiary Saab. Spyker needs to pay an additional 24 million U.S. dollars in July.
Efficiency
CEO Muller, became a hero in Sweden because he saved Saab, worked between 1984 and 1991 for Heerema. The head of the offshore company, Pieter Heerema, tells in a statement published by Spyker a good return on investment is expected when Spyker management can succesfully execute the business plan.
According to nu.nl another financing source has been found (Pieter Heerema of Heerema Marine Contractors).
25 million dollars loan.
At least it looks like “clean” money, let’s wait and see what the swedish press find behind HMC.
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Still waiting for EIB decision !!!
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There is a line added to the story about the Spyker sale. I’m just wondering where the woman in the story is from and which dealer she is referring to? Could be Boucher in Racine as they were in the K-Egg cut but not sure if they dropped Saab.
I wrote into them after I posted the link. I’d like to think myself or someone else encouraged him to add the info.
I received a personal note from Vince, the author of the “Car Confusion” article.
I must give credit where credit is due. He informed me that he added accurate content to the article and took the time to write a thorough, respectful response, explaining his position and content of the article…even admited to being a SAAB fan.
In my original note, I added a little jab at the media relative to lack of research and accuracy in today’s news. Although I don’t take those thoughts back, I must give him credit for doing the right thing.
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