GM wants $450 million for Saab Automobile

Posted on 11. Jan, 2010 by Ryan in 2010-2019

TTELA via the Swedish wire indicates that GM wants $450 Million USD (3,164,001,805 Billion SEK).

General Motors took a step closer to shutting down its loss-making Swedish Saab unit Monday as CEO Edward Whitacre said that none of the bidders had submitted an offer that was good enough.

“They were not financially strong enough. It takes more money”, he told the TT news wire at the Detroit auto show.

Although saying that the managers of GM had decided to wind down the Swedish carmaker, he has not closed the door completely. If someone turns up with “a lot of money really quick” he’s ready to sell.

“Give us 450 million dollar and we have a totally different situation”.

Last day to put forward new bids is tomorrow, Tuesday, Edward Whitacre said.

Last Friday GM decided on the liquidation of Saab and appointed restructuring group AlixPartners to supervise the orderly wind down.

“We are closing Saab,” Edward Whitacre told reporters at the Detroit auto show, Dow Jones Newswire reported. “We’re winding it down.”

Several groups, including Dutch sportscar maker Spyker and a group comprised of Formula One boss Bernie Ecclestone and a Luxembourg investment firm, have said they presented GM with last-ditch bids to rescue Saab.

Shares in Spyker tumbled more than 10 percent in Amsterdam Monday after Edward Whitacre’s statement.

“The stock has gone up because everyone was hoping the bid would go through. Now it’s likely it is going down because people are losing hope,” Theodoor Gilissen private banker Andre Sirks told Reuters.

Tags: Amsterdam, Andre Sirks, appointed restructuring, Bernie Ecclestone, Detroit, Edward Whitacre, Formula One, sportscar maker, Spyker, USD

3 Responses to “GM wants $450 million for Saab Automobile”

karen

11. Jan, 2010

interesting number, wanting 450MILUSD up front. possibly GM has offers for Trollhattan factory and remaining toolling of that amount. possibly GM figures on that number based on what Ford is apparenlty getting for Volvo.

I do not defend what GM is doing, but there is a history of Chinese companies buying entire factories for relocation, and also of American companies physically moving factories to China and other countries.

and, for anyone who is enraged that GM needed 60BILUSD in TARP money for their bailout, one should consider that China is a major source for borrowing money to fund the American fedral deficit.

some game of hardball poker GM is playing with Sweden, at Saab’s expense!!!

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karen

11. Jan, 2010

interesting number, wanting 450MILUSD up front. possibly GM has offers for Trollhattan factory and remaining toolling of that amount. possibly GM figures on that number based on what Ford is apparently getting for Volvo.

I do not defend what GM is doing, but there is a history of Chinese companies buying entire factories for relocation, and also of American companies physically moving factories to China and other countries.

and, for anyone who is enraged that GM needed 60BILUSD in TARP money for their bailout, one should consider that China is a major source for borrowed money to fund the American federal deficit.

some game of hardball poker GM is playing with Sweden, at Saab’s expense!!!

Reply to this comment
wb

11. Jan, 2010

If that’s what they wanted for the company, why didn’t the d-bags just say that in the beginning?

I hope this completely backfires on them.

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