It appears that Saab will become the first of GM’s European subsidiaries to divorce itself from its beleagured parent. The Swedish automaker has filed for bankruptcy and is initiating procedures to re-establish itself as an independent company.
The announcement comes shortly after GM’s last-ditch failed bid to secure aid from the Swedish Government to prop up the Saab brand. However ditching GM and striking out on its own - while liberating - won’t exactly be a simple process for Saab.
The marque aims to bring all of its resources back to Sweden and start anew, but the process of reorganising its assets will likely cost a hefty $1 billion USD - a bill that GM may have to foot, although Saab says it is pursuing investment from “both public and private sources”.
A detailed proposal for the reorganisation is due in three weeks. But Saab will need to secure as much funding for the transition as it can during that time.
Saab’s new 9-5, 9-3X and 9-4X are all due for launch over the next 18 months, and the company is optimistic that these new products will see its ledgers back in the black.
However, if those models are to have a chance of reaching showrooms by their due dates, Saab’s split from GM will have to be a swift and well-funded one.
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It’s great news. GM have destroyed the SAAB brand along with many of their others. Yet another example of how Corporate America is driving the passion out of previously passionate people and brands. SAAB still aren’t out of the woods, but the final, delicious irony is that GM will go under before SAAB.
+1
Yeah I’ve noticed the quality and prestige of the SAAB brand and vehicles has disappeared since GM took over, quite sad really, but comes as no surprise considering GM also make holden opel and vauxhaul, among other low-class vehicles.
hope saab splits asap
bring back the class and quality!
Highly unlikely that Saab can survive. One profit in the last 20 years is why they are a GM subsidiary. Sales are down and will tumble further. Now that they are in bankruptcy protection, would you invest in one?
Porsche to buy into Saab ? Crazy idea or a good way for Porsche to get itself off the hook after its market speculation that has seen it out manouevre the hedge fund experts to the tune of 6 billion euros - watch this space