GM to Decide on Saab Buyer This Week

General Motors needs to decide whether or not to sell its Saab brand, the Nordic government's car czar was quoted as saying by Svenska Dagbladet. A while ago, GM said that if it will not be able to sell the car manufacturer by the end of the year, it will start the closing procedure.

"They must at least have chosen one of the interested parties this week, otherwise it will be tough to complete a deal," the paper quoted Joran Hagglund, state secretary at Sweden's Enterprise Ministry, saying. "Partly, GM has a lot of contracts to negotiate with a possible buyer and partly the European Investment Bank and the Swedish debt office need to undertake a detailed economic analysis of a buyer's financial strength."

Just a while ago, things were looking good for General Motors, as Swedish supercar manufacturer Koenigsegg Automotive AB alongside China’s fifth largest car maker BAIC were about to close the deal on Saab. But November brought an unexpected decision, as Koenigsegg stopped its discussions with GM and decided not to buy Saab.

After this fiasco, another supercar manufacturer, the Dutch brand Spyker Car N.V., showed interest in Saab. GM is also negotiating with Chinese BAIC the sale of some assets of the Saab brand.

Chris Preuss, GM spokesman, said that negotiations might continue in 2010, despite the costs of running Saab through all that period. "Yes, we will continue to run Saab during that period. But I think that a decision about Saab is going to come very soon," the paper quoted Preuss as saying.
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