Further news on the bridge loan

From cnbc.com (with the help Saablog-in)

SWEDISH AUTOMOBILE, SAAB The two Chinese companies that have agreed to buy a stake in Saab have agreed to guarantee a loan to the company, daily Dagens Nyheter wrote on Thursday, quoting unnamed sources. The paper said the decision by Zhejiang Youngman Lotus Automobile Co. and Pangda Automobile Trade Co Ltd had been motivated by Chinese authorities easing the process for the two to take stakes in Saab. The chance of quick decision by the authorities and therefore of Saab getting new money, has risen, one source said. Late on Wednesday, Saab parent Swedish Automobile reported a first-half operating loss of 201.5 million euros ($290.1 million) and warned it could lose the battle to stay afloat.

I would says this is a speculative rumour as I can’t even find the article from Dagens Nyheter they talk about.

aop
Member
5 years 24 days ago

I hope this is true as I was wondering what SAAB could bring in as collateral at this stage !!!!
Thank you Ladies and Gentlemen in China 🙂

ryanonsrc
Member
5 years 24 days ago

Holy crap! This is huge guys … let’s hold on to our seats ….

TurboLover
Member
5 years 24 days ago

Hold on to your lug nuts, it’s time for an overhaul!

hans h
Member
5 years 24 days ago

🙂

katar1na
Member
5 years 24 days ago

Time for that CHAMPANGE very soon perhaps 😉

BoeBoe
Member
5 years 24 days ago

Pang Da & Youngman are not allowed to invest until they get an OK from the Chinese government. Every investment larger than $50 million needs to be approved.

So it is not very likely that Pang Da & Youngman will come to the rescue at this point in time.

RS
Member
5 years 24 days ago

But I’m sure they can guarantee a loan for Saab if they wish to do so, no?

RS
Member
5 years 24 days ago

I’m too slow 😉

StefanH STHLM
Member
5 years 24 days ago

as I have understodd, Pang Da & Youngman are not allowed to invest until they get an OK from the Chinese government. Every investment larger than $50 million needs to be approved.
Have the government given them an exemption perhaps.

Otherwise it is not very likely that Pang Da & Youngman will come to the rescue at this point in time.

But I sure hope I´m wrong.

StefanH STHLM
Member
5 years 24 days ago

Another way of typing it …..

Carmania
Member
5 years 24 days ago

I think the DN sources are correct. When it get close to a deal there are to many people involved to keep it secret. If Pangda and Youngman are serious in their interest to get involved in SAAB (which I think they are) it is obviously in their interest to keep the company afloat until the deal is approved.

Jeff
Member
5 years 24 days ago
The way this makes it sound is that the NDRC is actually trying to help ease the transaction on the Chinese side. I’ve learned that unnamed sources from China aren’t the most trustworthy in the last few weeks, so please take this with a grain of salt (hopefully a very very small one). Please let’s try to give this deal space and not get hysterical dissecting every piece of it. The only thing we can do right now is wait and hope it all goes to plan, there’s quite literally nothing good that comes out of us blowing every news… Read more »
ryanonsrc
Member
5 years 24 days ago

+1

turbofever
Member
5 years 24 days ago

Hello!

Why are the stocks halted? I don´t know how the stockmarket works.

Daniel

turbofever
Member
5 years 24 days ago

Sorry, not halted anymore.

TonymacUK
Member
5 years 24 days ago
It`s a funny old world we live in. Here is SAAB struggling desperately to find funds to survive and yet; DHL (one of SAABs suppliers, no doubt owed money) find £40,000,000 to sponsor Manchester Unted FC, who have such crippling debts that make SAAB look like a minor player in the debts league. Vladimir Antonov has recently bought Portsmouth FC for an undisclosed sum, but thought to be around £17,000,000 – in spite of previously being prevented from opening another business by the UK Financial Authoroities. Romeo Abramovich is the famous owner of Chelsea FC (among many other football interests),… Read more »
Pedro
Member
5 years 24 days ago

The DHL is an advertising deal. Seeing DHL on Man Utd shirts is exposure. Regarding VA and Abramovich I will not comment much, because the kindest thing I can say is that those deals are “penis extenders” for them (i.e., people with money seeking public projection).

SAAB, however (especially sad in the case of SAAB) is not playing in a sector where, except if one wants to build and try and market a 1 million dollar sports car, investments are made for emotional reasons. Things are what they are, even though things sometimes reflect a world that is apparently upside down…

Pedro
Member
5 years 24 days ago

Apologies: marketing and not advertising, as there’s logistics involved as well. And not advertising DHL’s name in a shirt but in training kits, I believe. 😉

skwdenyer
Member
5 years 24 days ago
If true, I believe this marks an extraordinary development. It was always the case that, barring a sell-off by another manufacturer, Saab represented effectively the ‘last chance’ to buy into a European brand. Conversely, the noises many have believed they have heard coming out of China have indicated that the Chinese authorities are quite set against further acquisitions and growth of additional car manufacturing entities. Furthermore, as has been pointed-out often, some Chinese companies have quite deliberately played a game of waiting until the fat lady has sung before picking up assets. So, if true, this represents a great coup… Read more »
Sadim
Member
5 years 24 days ago

If true, one would have to be impressed by the negotiating skills of those involved. And a better token of the Chinese long-term commitment would be hard to imagine.

In my mind I can see the arguments for a Chinese move at this time. As skwdenyer said “Saab represented effectively the ‘last chance’ to buy into a European brand” and if put into b-y the “brand” is most likely lost forever.

Jeff
Member
5 years 24 days ago

+1

Greg Abbott
Member
5 years 24 days ago
Obviously I do not know what is in the contracts between GM and Saab regarding use of GM’s intellectual property. But it’s obvious that whatever licenses or rights Saab has to the IP – and by extension whatever rights Saab has to technological developments or refinements of that IP – are not transferable to a third party. This is true even if Saab goes through reorganization or is liquidated in bankruptcy. So — Saab’s existence as a going concern is the only way for the Chinese to access the technology. There is no incentive for the Chinese companies to wait… Read more »
Belfast_Saab
Member
5 years 24 days ago

Strong argument indeed Greg, here’s hoping.

Khrisdk
Member
5 years 24 days ago

I think that is some of the strongest arguments for Saab as an ongoing concern
I think Jeff wrote a longer piece on this a while ago, but it’s a little hard to find.

Jeff
Member
5 years 24 days ago

I can’t even find it but I remember writing it 😛

All of the arguments for why Saab is the brand with 9 lives (Saab loves 9s after all) will need to be presented here soon. Makes a great basis for an ad campaign, no? 😉

After the deal is completed and Saab’s in calmer waters, we can stop flailing around and focus on marketing Saab the right way to other Saab fans. That’s what the legacy of SU and our contribution to getting customers back into dealers and cars again will be.

Nate 9-3
Member
5 years 24 days ago

I can see the slogan now:

“At SAAB our IP is so innovative our company simply cannot die”

TurboLover
Member
5 years 24 days ago

Good thinking!

Dejjo
Member
5 years 24 days ago

Am i the only one who thinks that this has just turned into the biggest freakshow ever…..i have never heard of such a dysfunctional company like saab…..everything is just soo hard. I am at the point that I would rather that SAAB goes under then have the brand totally FUBARed.

Dont hate med becuse Im honest……….i love SAAB

Jeff
Member
5 years 24 days ago
Ha, this is fairly conventional for a startup like Saab. I imagine there will be a CNBC special about this in the next 2-3 years. Tesla has one, after all, and their saga looks even crazier, yet they’re sitting on a mountain of cash right now and about to roll out the Model S next year. They had an even steeper hill to climb (no factory, no money, no confidence, no proven plan for success). Saab has a very strong business case. They just need cash. No freakshow here, just a lot of dramatic headlines to sell papers that makes… Read more »
Dejjo
Member
5 years 24 days ago

hahahah I just love that you call SAAB a startup!…..It´s been a startup since the 1940´s hahaha. But you have to admit, the amount of deals and ups and down do make it kind of a freakshow compared to moste car companies.

SAAB did have a “fully funded businessplan” and it failed, can’t be very strong then. Dont get me wrong I belive in SAAB but not the business plan, I think koenigsegg’s plan would have been much better for saab and the cash-situation.

Khrisdk
Member
5 years 24 days ago

Wasn’t it the Koenigsegg plan? Slightly reworked, but mostly the same

Dejjo
Member
5 years 24 days ago

Not really, the koenigsegg plan was for 80 000 units/year max. They whanted to move Saab into jaguar land with high-end car.

9-3, 9-4, 9-5, no more than 80 000 units of all those cars. perfect for SAAB, but then I could never buy one……soo it worked out for the best….kind of.

Khrisdk
Member
5 years 24 days ago

On the product portfolio that GM left for the buyers?
I was never really interested in the Koenigsegg deal, so I never paid much attention to details.
I just seemed to just run smoothly… until they pulled out.

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