I have to tell you I let out a HUGE sigh of relief when I read this tweet from @GMVolt: Koenigsegg to Buy Saab and Build Electric Supercar. Relief because I'm rooting for the General to survive. But also relief because the Saab 9-3 happens to be my favorite every-day car. I would shed real tears if it went away.
Not only does the deal call for the Saab brand to be maintained, but there's also new product slated. Hot damn!
Below is an abbreviated version of the press release:
General Motors and Koenigsegg Group AB Reach Tentative Agreement on Saab
Zurich -- General Motors Corp. and Koenigsegg Group AB, a consortium led by Koenigsegg Automotive AB, today confirmed the details of a memorandum of understanding for the purchase of Saab Automobile AB that secures Saab’s future.
The sale, expected to close by the end of the third quarter of this year, includes an expected $600 million funding commitment from the European Investment Bank (EIB) guaranteed by the Swedish government. Additional support is to be provided by GM and Koenigsegg Group AB to fund Saab's operations and product program investments. This includes plans to launch several new products that are in the final stages of development. Saab had filed for reorganization under Swedish Law on Feb. 20, 2009. This tentative agreement is a key milestone for Saab to successfully emerge from its reorganization process.
As part of the proposed transaction, GM will continue to provide Saab with architecture and powertrain technology during a defined time period. Additionally, Saab plans to produce its next generation 9-5 models in the Saab production facility in Trollhättan, Sweden.
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 are not being disclosed at this time. Deutsche Bank acted as financial advisor to General Motors Corporation.
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