/Spyker Acquires Saab for $74 Million

Spyker Acquires Saab for $74 Million

saab 95 2010 7 at Spyker Acquires Saab for $74 Million

General Motors and Dutch supercar maker, Spyker Cars NV finally reached an agreement on the Saab deal after any ups and downs! Apparently, Spyker will pay GM $74 million in cash in two installments, yet GM retains $326 million worth of redeemable preference shares in the Swedish company. So the actual worth of the deal is $400 million. The new company will be named  Saab Spyker Automobiles. Anyhow, it’s good to hear that Saab is saved, for now!

Press Release:

General Motors and Spyker Cars NV today confirmed that they have reached a binding agreement on the purchase of Saab Automobile AB.”Today’s announcement is great news for Saab employees, dealers and suppliers, great news for millions of Saab customers and fans worldwide, and great news for GM,” said John Smith, GM vice president for corporate planning and alliances.

“General Motors, Spyker Cars, and the Swedish government worked very hard and creatively for a deal that would secure a sustainable future for this

unique and iconic brand, and we’re all happy for the positive outcome,” Smith said.As part of the agreement, Spyker intends to form a new company, Saab Spyker Automobiles, which will carry the Saab brand forward.  The sale will be subject to customary closing conditions, including receipt of applicable regulatory, governmental and court approvals.  Other terms and conditions specific to the sale will be disclosed in due time.

The Swedish government is at present reviewing the transaction and the related request for guarantees of a Saab Automobile loan that has been requested from the European Investment Bank.  Assuming quick action, the transaction is expected to close in mid-February, and previously announced wind down activities at Saab will be immediately suspended, pending the close of the transaction.

“Throughout the negotiations, GM has always had the hope to find a solution for Saab that would avoid a wind down of the brand,” added Nick Reilly, president, GM Europe. “We’ve worked with many parties over the past year, including governments and investors, and I’m very pleased that we could come to such a good conclusion, one that preserves jobs in Sweden and elsewhere. GM will continue to support Saab and Spyker on their way forward.”

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