Wall Street Journal quote the vice president of Youngman:
One of the two Chinese companies interested in participating in the restructuring of Saab Automobile AB of Sweden has said their agreement would likely change.
“The offer may be higher or lower, but we don’t know now,” said Huang Zhiqiang, vice president of China Youngman Automobile Group. The Chinese company, along with Pang Da Automobile Trade Co., had previously offered to invest €245 million ($337.5 million) in the Swedish car maker as part of a restructuring that would leave the two with a 54% stake.
“The final restructuring process will have to change,” he said. “It will be influenced by many factors.” He said the companies are continuing to work through a restructuring officer appointed by a Swedish court.
In the same article there is a quote from Li Shibo of Pang Da:
Liu Shibo, an official at Pang Da, said Friday the Chinese company doesn’t plan to reduce its investment and is still waiting for government approval, which he said the company expects to get in November.
This does not sound like those two companies pull exactly in the same direction. And it fits well with the statement from Pang Da I read last week that said that it was Youngman who slowed down the process.
Thanks to SaabMan in comments.
6 thoughts on “WSJ talk to PangDa and Youngman”
Correct me if I’m wrong but I think that Pang Da was the only Chinese partner for Saab until somebody informed them that Youngman had already applied to the NDRC for an investment and therefor Youngman had priority over Pang Da. That is why Youngman was invited into the deal.
What will happen if NDRC approve both Pang Da and Youngman and then Youngman pulls out of the deal. Can Pang Da still invest in Saab as originally thought? And do Pang Da have enough money them self?
Pang Da is not qualify to make car in china. That is the primary reason Youngman was bring in. Another reason is that Youngman is the first one to file for SAAB deal with NDRC, thus it had the priority.
If Youngman pulls out, PandDa has to find another auto maker in China who has the licence to make car in China.
and Pang Da just want distribution, they was not much interest in manufacture cars. Pang Da may sell their shares to others in the future.
I don’t think Panda would sell its shares to others if it can get it. The reason why Panda want SAAB shares is it want to be the solo distributor for SAAB in china.
Feeling a bit better now after reading some more news 🙂 Saab is to be continued!
Me too .)
Comments are closed.