GM Gets Left at the Altar by Koenigsegg Over SAAB Sale.

Poor GM. They cannot win for losing. It appears to us that they are merely reaping what they have sowed for the past 50 years and not even massive influxes of free cash can keep them on the right path.




From Green Car Congress:

Koenigsegg Group AB has terminated the agreement for its proposed purchase of GM’s Saab. GM President and CEO Fritz Henderson the Koenigsegg move today.

We’re obviously very disappointed with the decision to pull out of the Saab purchase. Many have worked tirelessly over the past several months to create a sustainable plan for the future of Saab by selling the brand and its manufacturing interests to Koenigsegg Group AB. Given the sudden change in direction, we will take the next several days to assess the situation and will advise on the next steps next week.

—Fritz Henderson

GM and Koenigsegg had signed a stock purchase agreement regarding the sale of 100% of the shares of Saab Automobile AB in August. Conditions to close the sale included expected funding commitments with Swedish government support and guarantees, as well as transitional assistance from GM, as Saab becomes independent. In September, Koenigsegg signed a Memorandum of Understanding (MOU) with Beijing Automotive Industry Holdings Co. Ltd. (BAIC) to explore growth opportunities in the Chinese and international markets for the products of SAAB Automobile and BAIC.

GM is also currently working to sort out the reorganization and financing of Opel following its decision not to sell.