Press Release: Agreement with Hawtai terminated

Spyker and Hawtai Motor Group continue discussions about funding and strategic partnership yet earlier agreement terminated

Zeewolde, The Netherlands, 12 May 2011 – Spyker Cars N.V. (Spyker) announces today that Hawtai Motor Group Company Limited (Hawtai) and Spyker terminated the agreement by and between Hawtai, Spyker and Saab Automobile AB (Saab Automobile) with respect to funding and strategic partnership. However, discussions are ongoing.

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. As indicated in the press release of 3 May 2011, the transaction with Hawtai was 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 parties will continue their discussions about a possible cooperation, however now on a non-exclusive basis.

Spyker and Saab Automobile continue to work on securing short and medium term funding. To that end Spyker and Saab Automobile are negotiating equity and debt financing and/or technology licensing with various (strategic) Chinese partners.

BAIC indicated that it does not have any problems with Saab’s ongoing discussions with other Chinese partners.

Discussions continue with the European Investment Bank (EIB) on completion of the current EUR 29 million 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 (NDO) 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.

It looks like Saab will be relying on the EIB once again to be able to restart production in THN. At least the production of customer 9-4x’s has already started in Ramos Arizpe.

Jr.
Member
5 years 4 months ago

A kick in the teeth…

gunteman
Member
5 years 4 months ago

Of course it’s bad and the negativists will have a field day, but I think this is quite a natural result of speedy negotiations. In a less rushed scenario, this is the sort of renegotiation that would have happed before anything was made public. The fact that is was made public means that they also have to take a very public step back, which is unfortunate.

RS
Member
5 years 4 months ago

Can Spyker start to charge the press for providing all these juicy stories? πŸ˜‰ (sorry)

Belfast_Saab
Member
5 years 4 months ago

Oh.

We’eve been here before, let#s have faith that VM and VA have demonstrated worthy of in the past…..

Coke is it
Member
5 years 4 months ago

I can’t say that I’m sorry that this deal has been terminated. It felt like a desperate deal. I’m looking forward to Antonov and what he can do for Saab.

It’s better for Saab to search for another better suited company to share their Phoenix platform with.

Hopefully I can get my 9-5 SportCombi after summer anyway πŸ™‚

Saab UP!

Tim
Member
5 years 4 months ago

Hmmm…

P.H
Member
5 years 4 months ago

Once again I’m not the least bit worried about the future of the company, but am worried that Saab has been set back a lot longer than one would like.

theSandySaab
Member
5 years 4 months ago

Darn, need to use the F5 yet more, again…

SaabSouth
Member
5 years 4 months ago

What a shambles! The Chinese do this every single time. Can’t believe that VM did not see this coming. Hope they have another plan to quickly deploy – the press is going to be bad!

kaiger
Member
5 years 4 months ago

This also causes a termination of production start:
http://di.se/Artiklar/2011/5/12/235539/TT-FLASH-Saab-avtal-skrotas/

Termination of Hawtai agreement also means that production of the Saab factory in Trollhattan is not achieved.

I think Saab now lost all its credibility, even the little one they had before.

saab_93_turbo
Member
5 years 4 months ago

Has Hawtai anything to do with the restart of the production? Isnt it so that the money from Gemini is used to pay the suppliers and to restart the production?

BoeBoe
Member
5 years 4 months ago

That is not enough.

Iggy
Member
5 years 4 months ago
This news is catastrophic! Not only regarding the funding and the possible partnership, but mostly from the public image perspective. SAAB now don’t have any deal, have to start negotiations again with pissed off Chinese companies. The price has probably gone down, since SAAB is now even more desperate to get fresh money. The car buyers will get even more scared and start running away. DI and similar publications will start up their news mills will new anti-SAAB campaign. Sorry for telling this blasphemy on this forum: Maybe the game has become too complicated for VM! Maybe his poker game… Read more »
Bravada from GMI
Member
5 years 4 months ago

I must say I have had similar feelings but hesitated to voice them. It is a real pity that there is only so much JAJ and that much VM/VA in the whole thing.

I am very frustrated at the moment, there is little but hope left in view of all that we have learned. And my hope is now for somebody totally uninvolved until now to appear on a white stallion and take Saab into the sea of stability. Or even make that Hawtai or BAIC.

Jos
Member
5 years 4 months ago

The press is always bad, and will do everything to make a big headline out of everything that happens, simply because it sells.
However I do not know what to make of VA’s latest Tweet. Appearantly he’s quite frustrated about someone leaking something to the media. The termination of the preliminary deal with Hawtai however was in an official press release from Spyker.

Olav
Member
5 years 4 months ago

But VA’s latest TWEET is interesting though.

saab93f
Member
5 years 4 months ago

What did VA tweet? I cannot get the link to work on my mobile.
This is quite unfortunate altogether – hopefully good comes out of this.

granne
Member
5 years 4 months ago

About an hour ago he tweeted “I just want to ask irresponsible people WHY you leaking to the media a real false???”

Jos
Member
5 years 4 months ago

Het tweeted:

I just want to ask irresponsible people WHY you leaking to the media a real false???

I’m guessing here, but the Dutch news article was referring to the initial article in Svenska Dagebladet, saying that the deal was ended after chinese executives visited the plant, and because it was desolate at the time. I think this reasoning might be untrue, and a result of sensationalist speculation by an irresponsible journalist, which is what pissed VA off. We learned from Saabsunited that the factory was recalibrating and doing test runs on the day the chinese visited, and all staff were in.

Olav
Member
5 years 4 months ago

Oh, well – even this is very serious for SAAB and food for the cannibals in the Presscorps, we have been in this situation ‘many times’ before. My thoughts though go to all the SAAB employees and their families depending on our beloved carmaker’s survival. We stand behind you!

Even if our belief should start to crackle (off course it won’t!), we should continue to KEEP CALM & CARRY ON!

VM, VA, JAJ and SAAB up!

Cheers from Norway
-Olav-
Always on the longest road home when out there with my SAAB. Always!

StefanH STHLM
Member
5 years 4 months ago

No need to rent a horror movie over the next days then?

Jos
Member
5 years 4 months ago

No, I guess we can do without. Hower crisps and a coke would be nice. (Or a big can of red bull and a new F5 key)

900 classic cab
Guest
5 years 4 months ago

LOL πŸ™‚

Dejjo
Member
5 years 4 months ago

If there was ever a moment to use the F-word it’s now!

It’s so sad that it’s funny…hahahahahhaha

900 classic cab
Guest
5 years 4 months ago

I really hope something better comes out of this. When things will calm down, some real marketing is necessary put SAAB again on track. Are there still SAAB ambassadors ? What have they been doing to boost the sales ?

Osama Dajani
Member
5 years 4 months ago

Sadly, SAAB is losing its identity and its image. That’s not good !

“SAAB”, what has gone wrong with you?; “SAAB”: No money, No honey ! ;

SWEDISH PEOPLE, common guys, please do what ever it takes to help “SAAB” to survive.

“SAAB FANS” all over the world, please organize an annual campaign to “SAVE OUR SAAB” (SOS)..

Khrisdk
Member
5 years 4 months ago

-Just speculation-

Somehow I get a creeping suspicion that yet another government institution is tha cause of this sudden change.
Namely the NDRC.
I don’t think they like quick undocumented affairs

-Just speculation end-

I still believe that the Hawtai deal will be done.
But I am also an endless optimist.

zippy
Member
5 years 4 months ago

BAIC is waiting in the wings……..

aero
Member
5 years 4 months ago

Oh shit. I was hoping for some news on the production start today and then this came. But we been here before many times now and I’m sure there are more rabbits in VM/VA’s hats..

Coke is it
Member
5 years 4 months ago

Get rid of Victor now, he talks to much and isn’t trustworthy by the media.

Best solution right now is if a well established western company buys Saab and buys out Victor and replaces him with a CEO that knows the business.

A dream owner right now would be BMW.

Saab UP!

Khrisdk
Member
5 years 4 months ago

Well…there’s always GM.. πŸ™‚

I don’t think that any of us are in a position to pass judgement on the man who brought Saab back to life.

Dejjo
Member
5 years 4 months ago

damn right, out with victor! bring back jan-Γ₯ke…Mr SAAB

Khrisdk
Member
5 years 4 months ago

You can always buy out Victor if you afe unhappy with the owner
Just bring the money

Jos
Member
5 years 4 months ago

Come on, show some respect. There would not be a SAAB today if it weren’t for Victor, and JAJ is not gone, he was together with Victor in China negotiating whatever deals were negotiated there.

Coke is it
Member
5 years 4 months ago

Victor did save Saab, that was a big achievement but it hasn’t exactly worked out the way we all hoped.

Now it’s a new time to save Saab and this time Saab needs stability and I’m sorry Victor can’t give Saab the stability it needs.

Khrisdk
Member
5 years 4 months ago

You are missing the point.
If Victor can’t give Saab stability it is because noone can or are willing to

Things do not always work out like we hope

Bravada from GMI
Member
5 years 4 months ago

I wouldn’t say there is no company waiting to take over. I am sure BAIC and the rest would be willing to consider Saab if they could get it on the cheap and with little to no strings attached.

But for that to happen Saab as we know it would probably have to collapse, and as such this is undesirable. So VM needs to convince the suitors it’s better to go with him than to wait for the remains to be up for grabs.

Olav
Member
5 years 4 months ago

Why BMW, and what incentives should BMW have to buy SAAB? I just can’t see what SAAB could bring to the BMW table. BMW wouldn’t get any technically or economically (or nothing at all) benefits to add to their own portfolio if they aquired SAAB.

No, Victor Muller is the dedication SAAB needs, and him paired with a guy llike Vladimir Antonov would most likely be the perfect couple. SAAB needs enthusiasts, and not only among it’s customers. VM won’t give up this deal as long as he can stand upright, ref also his motto.

SAAB up!

900 classic cab
Guest
5 years 4 months ago

+1

Coke is it
Member
5 years 4 months ago

For now it would be to get a bigger market share and in the future sharing platforms and so on. What is so strange about that?

mike saunders
Member
5 years 4 months ago

BMW would gain nothing from such a deal, except for a huge headache. They don’t need Saab’s miniscule market share; in fact, they might benefit from Saab leaving the picture. And they certainly don’t need any platforms from Saab because all the ones currently in production are GM based.

BMW would only look to Saab as a potential vendor, not as the target for a rescue mission. πŸ™

Coke is it
Member
5 years 4 months ago

So, BMW has not benefited anything from adding Mini to their portfolio? I don’t think BMW and Mini share any platform (yet), they make a profit by getting a greater market share. The market share for Saab would of course get bigger by time since potential buyers of cars would know about the connection and hopefully not cannibalize on BMW’s market share but instead move buyers into Saabs instead of Audis and so on.

SaabSouth
Member
5 years 4 months ago

Were BAIC not the ones who dropped Keonisegg in the crap. If that is our hope then I am a very worried man!

nickX
Member
5 years 4 months ago

omfg.
i was almost convinced, the stormiest wether was over, when hawtai came in….still not time to loose all hope!!
keep calm and buy saabs!!

buckerst5
Member
5 years 4 months ago
Well this is my first time as a blogger on this site. I LOVE the Saab brand but I’m afraid some home truths have to be told. This situation is exactly the same as what happened at MG ROVER. Again, like GM, BMW were desperate to get rid of it’s loss making arm(MG ROVER), so they sold it to the phoenix corporation. They were supposed to save MG with the aid of government money. Money did pour in but the directors wasted and spend it on themselves, not on new models. I’m not saying VM is the same as the… Read more »
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