September 8, 2009

Saab investors may have Chinese help

Swedish investors vying to purchase Saab Automobile from General Motors Co. may have help from a Chinese auto producer, a report in Sweden said.

The business daily Dagens Industri reported that Shanghai Automotive Industry Corp. may invest in Saab, the Swedish news agency Tidningarnas Telegrambyra reported Tuesday.

Sweden's State Secretary at the Ministry of Enterprise, Energy and Communications Joran Hagglund said it looks promising, referring to the Koenigsegg Group's ability to find the financing to complete the deal.

Hagglund said the European Investment Bank was likely to review a Koenigsegg loan application during their October 21 meeting.

Three weeks ago, Koenigsegg Group said it was $427 million short and were looking for a loan from the Swedish government.

That is no longer the case, Hagglund said.

It has been understood that there is no such possibility and that it should be handled in another manner, he said.