As we are all puzzled by the latest news on the Youngman bid and confused by what to and not to believe, now seems like a great time to look at another player and their bid for Saab. Mahindra & Mahindra have been the quiet seeker of Saab and we’ll take a moment to look into who they are.
You have to look no further then their website to find out where they came from. They talk about how 
Mahindra and an independent India began their rise together. In 1945 two brothers, J.C. and K.C. Mahindra joined forces with Ghulam Mohammed and started the Mahindra and Mohammed steel company in Mumbai. Two years later the Mahindra brothers decided to manufacture Willy’s jeeps in Mumbai when India got their independence and Ghulam Mohammed left and they became Mahindra and Mahindra.
When you do some digging, you come across many companies and many different areas where Mahindra has a presence. It is eye opening to say the least to see just how many areas they are involved in.
Systech is a part of the Mahindra Group and is one that catches my attention for many reasons. Their website says “Come Innovate and Create” and “one stop shop -art to part- design to delivery” all things that get me thinking and excited because that is the way to produce so that you don’t have to worry about supplier issues because you are your supplier. This is the kind of thinking that would solve a lot of issues that Saab has seen and with the Sytech model of design to delivery if put in place at Saab, you could see a self sufficient company.
In 2011 Ssangyoung Motor Company joined Mahindra & Mahindra. This South Korean company has a presence in more than 90 countries and employs more than 4,800 people. The company is said to be focused on strengthening their global presence by producing environmentally friendly engines and have plans to strengthen their global distribution network in the next few years. Ssangyoung has a number of vehicles offered including the Korando which is a contraction of “Korea can do”.
You can check their website for more of their offerings. Personally, I quite like the look of the Korando.
Automotive
Automotive companies of Mahindra include:
- Mahindra & Mahindra Automotive Division– The flagship of the company and market leaders of automotive and farm equipment.
- Mahindra Graphic Research Design– Based out of Italy, this is the design hub that is responsible for designing the brand image. Clients include Fiat and Honda Europe.
- Mahindra Navistar Automotive– Joint venture with Navistar (USA) for creating light commercial and heavy commercial vehicles for Indian terrain.
- Mahindra Navistart Engines– Joint venture with Navistar (USA) to produce diesel engines for commercial vehicles in India.
- Mahindra Reva Electric Vehicles– Mahindra acquired a majority stake in Reva in 2010 and aims to have the lowest dust to dirt carbon footprint in the automotive world. Click the link to read about their plans for the factory, really cool.
- Mahindra Vehicle Manufacturers– Set up in 2007 to push technology to the edge and has the capacity to build 3.2 million vehicles per year.
- Ssangyong Motor Company– Acquired in 2011.
Mahindra Auto January sales numbers look great too. Auto numbers are up 22% from 36718 January 2011 to 44717 January 2012. YTD for 2011 was 348,440 in automotive sales 156,547 in passenger vehicles alone.
Mahindra is involved in aerospace, agribusiness, automotive, components, construction equipment, consulting, defense, energy, farm equipment, finance and insurance, industrial equipment, information technology, hospitality, logistics, real estate, retail and bikes and scooters and is a company that is always moving forward and looking at ways to be better.
Below is community initiatives from Wikipedia on Mahindra:
The Mahindra Group is extensively involved in philanthropy and volunteering. It is considered an active participant in the Indian Corporate Social Responsibility field and received the Pegasus Award for CSR in 2007.[13] Mahindra engages in philanthropy primarily through the KC Mahindra Trust, which serves as the CSR arm of the group (although many subsidiaries have their own CSR initiatives, notably Tech Mahindra and Mahindra Satyam).[14] Founded in 1953 by K.C Mahindra, the trust focuses primarily on fostering literacy in India and promoting higher learning through grants and scholarships.[15] Mahindra operates several vocational schools as well as the Mahindra United World College.[16] The KC Mahindra Trust’s primary project however is Project Nanhi Kali, which targets the education of young Indiangirls.[17] The foundation currently supports the education of approximately 51000 underprivileged girls.[18] Other initiatives include Mahindra Hariyali (a 1 million tree planting campaign)[17] as well as sponsorship of the Lifeline Express, a mobile hospital train. Mahindra employees also plan and lead their own service projects through Mahindra’s Employee Social Options Plans. In 2009, more than 35,000 employees participated. [19]
The Mahindra Group was responsible for the creation of Mahindra United World College, a UWC campus located in Pune.
Mahindra also supports the Mahindra Excellence in Theatre Awards to recognize Indian theater talent, the Mahindra Indo-American Film Festival, and the Mahindra Lucknow Festival. In 2011, it held the first annual Mahindra Blues Festival with guests like Buddy Guy, Johnny Lang, and Shemekia Copeland.[20] Mahindra also partners with the NBA and Celtic Football Club to bring grassroots basketball and soccer to India.[21]
In 2011 Mahindra had revenues of 14.5 billion US and a work force of 144,000 worldwide and were listed as #21 in a list of top companies of India in Fortune India 500 in 2011. I’m sure there is so much more to write about Mahindra and the companies they own and I would if I had the time. From what I have found in my searches of this company, I would say it is easy to see that they would be a great fit for Saab as they understand the industry and the people. I am not endorsing anyone because none of us no how this will look in the end, but I will say that I like what I see and hear from Mahindra and I have provided a lot of different links in this post for you to check things for yourselves.
If in the end Mahindra is the winner, I will not be sad, I will be excited to see what they bring and how they let Saab be Saab.
Take that SUV in the picture, put in the interior from the 9-3, call it either 9-4X or 9-2X (recycled names, I know), turbocharge it, and you could have a major world player.
As it is basically a SY to use it as a Saab it needs some more work than design.
SY is the equivalent of a 1980’s Skoda.
But Dkoda used Old Platform from Audi. SsangYong has no parent to use a platform from.
In the 1980s, Skoda used an old platform from an… old Skoda.
It needs a LOT of work to be a Saab …. I sell these honkers
Sorry, I accidentally left out the restyle that would be needed to make what I said a reality. I was mostly thinking about the 9-2X and how it was very un-Saabish, so I was very concerned with including everyone’s favorite interior features. I just forgot to mention the exterior.
And yes, it would need some engine and suspension work, too.
Bring on Mahindra & Mahindra! They are fast becoming my preferred acquirer providing of course Saab is kept as a whole with production in Trollhattan. My concerns are the reports of Mahindra’s interest has purely being pieces of Saab not whole.
Otherwise they would be a great fit. (Tata as an example)
From what I’ve seen looking into the companies they have acquired, it doesn’t look to be their way to buy pieces. I would think they want it all.
Tata has handled Jaguar and Land Rover really well. They have deep pockets and bought two icons. Tata’s secret is very simple, let Jaguar and Land Rover run themselves just approve the production cars and write the checks. Geely is doing the exact same thing with Volvo. Mahindra would pursue a very similar if not identical strategy.
Like for example: http://www.leftlanenews.com/jaguar-land-rover-to-form-joint-venture-with-chinas-chery.html
Tata Motors and Geely will oversee JLR and Volvo and help with the decision process, but will not interfere in day to day operations. Mahindra is the best fit for SAAB…Period!
Ssangyong is dedicated to diesel, something sadly lacking in the GM sourced 9-4x.
http://www.ssangyong.com.au/Ssangyong-Dedicated-to-Diesel.asp?active_page_id=232
My brother had a Ssangyong SUV in England. its Diesel was a Mercedes built under license. It was the same Mitsubishi built engine which is used on so many refrigeration trailers in the US. Apart from that Mahindra would be one of the preferable suitors for SAAB.
But refrigeration trailers are reliable, aren’t they ! 🙂
Yes! That’s the point. He had a good quality SUV on a budget with a Mercedes engine, built by Mitsubishi.
Re-branding a Ssangyong as an interim thing would be okay until a co-designed replacement could be built. But in the longer term it should be avoided.
Looks a lot better than that Youngman SUV, IMO
agreed.
Rebranding a Subaru and rebranding a Chevy Blazer was done—-at a time when it wasn’t an emergency. I honestly like the looks of the vehicle in the photo more than either the Imprezza or the Chevy that Saab rebranded. I agree—-rebranding shouldn’t be the core of the aquisition—–but it might need to be a component.
I’m not sure about rebranding. The automotive press would have a field day. Remember they called the 9-2x a Saabaru.
Should be avoided. Who will win out?- “The last shall be first and the first shall be last”-Matthew 20:16.
In today’s economic climate—-and the realities of this situation—–it might not be able to be avoided. Didn’t Honda rebrand an Izusu when they felt they needed a sport-ute quickly? And at that point, they were dealing from a position of strength.
And the 9-7x a ‘TrollBlazer’.
There’s no question, looking at this information, that they have the expertise to aquire and run a company like Saab. If they are truly serious it could be a great thing. They’ve been much quieter in the bidding process, which is probably wise. I hope they are in fact as interested as has been suggested.
+1
They didn’t start out quiet. If you remember correctly, their choice for a Swedish spokesperson caused them to be initially dismissed by the administrators. (Or that’s what media reports led us to believe.)
+ another 1
Any badge engineering for Saab would be a disaster. The Gm900 problem was bad enough, and that was at least a western manufactured car.
+90000000
No doubt about those advantages. If they have the will to do this, they can. I hope the receivers are looking at it objectively, without being influnced by people who shouldn’t be in the process.
I’m fine with selling rebadged cars in, say, China or India – that won’t damage the established brand in other territories. I’d be very cautious anywhere else. As much as it’s backs against the wall now, you still have to consider the future.
Without a car to sell soon, what future?
Thanks Jason.
Good writing. I think Mahindra & Mahindra has the power to get Saab on the right track. Both can anticipitate from each other. But Saab would become the key development centre for automotive inside the group.
For all Korando lovers:
http://www.smotor.com/en/med_cen/news/1218441_8693.html
The picture with “Performing on snowy road” is very funny.
Do they till use the Mercedes license to manufacture Diesel engines on their own level of quality?
I agree. No Saab Korando, but what they could do is have the Trollhättan engineers look it over and drop in the HVAC, a sub 120g CO2 diesel and start selling it as Ssangyoung Korando refined and built by SAAB, Sweden.
If this car works well in challenging wether conditions I think it could easily start stealing customers from other Korean brands. A real win-win situation for Mahindra.
Volvo confirms today that they would like to buy SAAB in pieces!
Makes me furious when i read this but i’m not giving up though.
That is not really what Volvo said. You have a way of twisting statements, Nick…
Volvo are cautious to appear as vultures, but what they have confirmed is that they are waiting in the wings IF the receviers would decide to split up the assets and sell pieces separately. If this is indeed the case, then Volvo is an interested bidder for the development facilities (in competition with Semcon it seems).
Very understandable position I would say. Any car manufacturer within an hour’s drive from a bankrupt competitor would be interested in top development facilities at knockdown prices…
You little Bagdad Bob!! You said exactly what I said!! Some people here need to wake up and see what is happening. There will not be any more SAAB cars produced!!!
SAAB will be sold in pieces!
I said it directly after the receivers had there latest pressconference where everyone said oh they didn’t say anything! I said directly that they are preparing and planting that SAAB will be sold in pieces. I also would like SAAB to make it but it’s unfortantly not going to happen. 🙁
Yes, if the receivers want a calculated maximum price for every piece separately, how on earth is anyone going to be able to buy the whole lot?
What are all the liabilities at this point? If someone would offer straight up what the company owes plus the lawyers fees, shouldn’t that be enough to make the deal?
Obviously no lowball offers are going to be accepted. Bidders playing games at this point will only make it worse/end in tears.
You do not know that.
I left you writing “saab is dead”. Now you’re here again with “there will not be any more saab cars produced”.
You have a strange way to show support to saab, Nick.
It is a fact that there are bidders offering to buy saab and start production, and that the final decision is not made.
But you still prefer to talk about saab dead.
+!
And, why come to a Saab appreciation site and spew their negativity?
Like you, I’m a realist, it’s very touch and go that Saab will rise again and our favourite cars will once again roll of the production line, but, as no-one knows what is going to happen why be negative? Let’s just sit back and watch the drama unfold and keep our fingers crossed and hope. 🙂
I’m confirming right now, that I want to buy Saab and I’m willing to spend $100,000 cash (a hundred thousand smackaroos) to buy Saab. I want all debt forgiven though. I will partner with Suzuki or Kia, possibly even Ford or FIAT/Chrysler (Don’t worry, I’ll talk one of them into it as soon as I get control.). So there, I’m expressing definite interest. I’ve confirmed, same as Volvo “confirmed” their interest. Hurray for me.
Perhaps an interesting side note: Mahindra already works together with Saab AB Aerospace, the rights to the Saab name shouldn’t be a problem at all…
“Saab India Technology Centre inaugurated in Hyderabad. The Saab Technology Centre (SITC) will form a bridge between India and Sweden. The aim of the Centre is to support the internal operational excellence and optimization initiatives within Saab, while also supporting Saab to expand in the Indian market”
Based on what the company has to offer, knowledge of Automotive industry and financial strength Mahindra is without doubt the preferred buyer in my books.
The only caveat is that we don’t really know exactly what they want to do with the Saab assets. In today’s SvD Jonas Froberg writes that they just want a European production hub, something that I find a bit odd. I would imagine that Mahindra of all bidding companies should be very well placed to appreciate the value of Saabs development facilities and the PhoeniX platform, not only production.
http://www.svd.se/naringsliv/styckas-saab-lar-pv-sta-i-ko_6823157.svd
i too think the Ssangyong korando is pretty good looking for about A$29,000 driveaway, farmers appear to like their robust qualities, Ssangyong have good dealer coverage here in Australia which Saab do not have…..
From what I’ve read, the Ssangyong vehicles are indeed “robust” and capable. Good warranty too? It’s easy to ridicule something you have no first hand knowledge about, have never seen in person, have never driven and have only heard of sporadically, by reading blurbs in the automotive press. In the case of saving Saab, I have a very open mind. Global platform sharing is a reality.
I never had the impression that farmers represented a big market for SAAB. Are you suggesting that the farmers market (no pun intended) is an untapped source of sales that SAAB ignored to its own detriment?
Maybe not the farmers, but definitely the “farmers market” crowd. Robust qualities favored by farmers frequently make a vehicle good- look at Subaru and Land Rover.
Actually, the specter of college campuses full of SAAB pickup truck driving professors is an interesting one – especially if they were to replace their walnut pipes with the corn cob variant.
yepper, I sure like that “specter” better than the alternative of only seeing Saabs in museums and on used car lots.
The problem with Ssangyong in Australia is that besides the farmers no a lot of city dwellers (majority of our 24,000,000 population) would consider them. No yet anyway, they have a long way to go before they crack the market in Australa again. Let’s face it, the only attractive car on offer is the Korando. The other are simply butt ugly!
Yes—-even if the vehicles aren’t rebranded as Saabs—-they can be sold in the same showrooms and you are right, more traffic will build more Saab sales in the future. That’s why I’m so hopeful about an entry level Saab—-but I suppose another brand in the showroom—-an affiliated brand—-will create the same outcome. For pick-up trucks or crude off roaders, I wouldn’t be comfortable with the Saab badge. But maybe with a nicer small sport-ute, with the right modifications—-a different character—-that could work if it is branded as a Saab.
And to clarify my own comments—-I don’t mean that the receivers have anything to decide on at the moment—they are waiting for bids—-but once a couple bids are in…
I think there are some bylaws of the Commonwealth of Massachusets that stipulate that every car in the Commonwealth has to be sold by Herb Chambers, other dealers only use loopholes… Back in 1995, my 900 SE was sold by Herb Chambers Saab, I still proudly possess all the documents 🙂
PS. Schmelz VW? Really? Are there no Yentas in Minnesota to tell him?
There seems to be some confusion regarding where warranty work on gm-era cars needs to be performed. My dealer said that the warranty work would be performed at their dealership but they would have to process the claims through a GM dealer. To quote them “this is our problem”
That is very true, any Saab dealer can do the work if a GM store will process the claim for them.
RS: Completely agree—-a new name, easier to pronounce, easier to remember, is a must. Though I’ve got to tell you—-originally, Hyundai wasn’t off to a good start in the U.S.—-it wasn’t only their products (which were lousy) but also the name. They had to keep reminding people “Rhymes with Sunday.” They made it. They definitely made it!
I like the idea of Mahindra taking over SAAB. Like Tata they seem to be poised to make something like this happen.
Replace snow with mud and with Mahindra, you basically have a car maker with the same quirkiness and rally pedigree as Saab.
http://www.flickr.com/photos/mahindrabolero/5467848855/in/photostream
I’m with you Andy. Mahindra seems to be in the best position to really oversee a Saab resurgence. They will be able to sell a broader line of products in Saab showrooms, sooner, than anyone else.
It seems to be a bit unclear whether the administrators are willing to sell Saab as a whole entity at all – just because of money ? Nor do I understand whether one needs an approval from GM for this step again. But it would fit into the whole picture. 🙁
Besides there exists somebody on this planet who could collect the parts of the puzzle, add the missing parts and is willing to produce Saab cars again.
It´s not easy to watch this bazaar …
Good questions, if we take what the administrators themselves have said in the media at face value, they want to sell Saab as a whole. Personally I don’t know what to read into the statements by an unnamed source because they could be upset at how the bid was received and figured the best way to be heard was to look for public sympathy….. It’s been done before. I think until the administrators come out and say something directly, we have to take them at face value. IMO
I think you attach way too much importance to this website and to us. Frankly, I don’t think any of them care about what we think.
Interesting thoughts.
If you’re a GM dealer they will renovate your store!
http://www.nytimes.com/aponline/2012/02/04/us/AP-US-GM-Dealers-Upgrades.html?ref=aponline
But seriously, please keep commenting. You’re one of the few who has more at stake than just not being able to buy another Saab in a couple of years.
Some of the most pleasant buying experiences and best service departments are at small dealers who can’t afford to “renovate” to that level.
Hey, Dick Cheney is interested too?
Have some consideration with the mere mortals around here. Almost all are Saab enthusiasts and are very much upset with all the uncertainty. It’s no wonder that there are some irrational comments, no one is perfect. with the exception of yours truly and I refrain from sharing my crystal ball visions 🙂
+1 Hit the nail on the head. Just what I was saying!
Who ARE Mahindra. That’s actually really bad grammar. It should be :Who IS Mahindra, not that it matters. The verb ‘are’ should refer to a plural noun, whereas Mahindra is one entity.. Am I right? Doesn’t matter really.
They are a group, not a singular person or entity. I don’t want to know who they is….. You may be right, but it doesn’t really matter, I’m not paid to write. lol
Should be “paid”, shouldn’t it? Not “payed”. Past tense of pay is paid. Nice article anyway. Appreciate your taking the time and effort. I think the Mahindra Corp. would be a good fit for Saab.
don’t know what you’re talking about. lol
Well, if the writer is using U.K. English, the title is correct. It is common to use a plural verb after a group name in the U.K., especially if referring to members of the group which the article clearly does. See http://alt-usage-english.org/groupnames.html
I would have also said/wrote “are”, especially that Mahindra are both a group of companies and a family. I consider it much more logical and familiar to use “are” to refer to a company or group, but then I am not a native speaker.
I would have written ‘are’ myself. But I do comprehend what is being said 😉 so, what the he!!… On SU, it’s about the content, not about the style, right?
Ivo
Which Mahindra and Youngman products have you owned or driven?
They would indeed sell in the U.S.
If the Korando sells as hell or not is nothing i’m igonna care about before the day the evolution of new Saabs depends on it. You know what i mean. Saabs are always beautiful but they are also odd. I like odd cars even when they are not beutiful as Saab’s. An older ugly Ssangyong is not beautiful but its ugliness is interesting and fun and the Korando is not.
I would say the Korando looks like a slightly Nissan Juke inspired Ford Fiesta with a grille designed by some nervous 14 year old anglophile. Lets hope Mahindra realised they need Saab as much as we need them.
No, I’d say Saab needs them a wee bit more at this point.
There is no Saab at the moment. If there is to be a Saab resurrection its all up to “them”. If they are up to nothing god but buying Saab to get their hands on Saabs-stuff instead of building Saabs there is nothing we can do about that. If they want to build up on 70-year old automobile history and engineering know-how or not, its also up to them.
Agreed—-that’s why I view “Saab” as needing Mahindra more than the other way around. With or without the purchase of Saab, life goes on for Mahindra.
i think we all need some news this week coming to keep us all sane…..geeting to be a bit same old, same old !!
Not the news you REALLY are wating for, but anyway, the Saab museum reopens this spring:
http://ttela.se/ekonomi/ttekonomi/1.1518419-saabmuseet-oppnar-igen-i-var