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Report: Sweden's Koenigsegg purchases Saab (Roundup)

Jun 11, 2009, 16:50 GMT

Stockholm - Troubled Swedish carmaker Saab Automobile is to be taken over by sport vehicle manufacturer Koenigsegg, according to a reported on Swedish broadcaster SVT on Thursday. The report also said that Norwegian investors support the takeover. Specific details over price and future plans were not reported. Swedish State Secretary Joran Hagglund stated earlier Thursday that the government had instructed the National Debt Office to prepare talks with Saab Automobile and a new possible owner over state loan guarantees. Current owner US giant General Motors (GM) has stated its intention to shed the Swedish brand, which has, since February, been under bankruptcy protection as it attempts to reorganize its business. The National Debt Office was to be 'on standby' in order to enable the process, should state loan guarantees be needed, he added. The government has, to date, held off on offering state loan guarantees to Saab Automobile, saying it needs to get a clear picture of Saab's new owner before putting taxpayer's money at risk. Saab's bankruptcy protection was recently extended to August 20. GM's interest in Saab - one of Europe's smallest carmakers - dates back to the early 1990s. The company took full control in 2000.

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Report: Sweden's Koenigsegg purchases Saab (Roundup)

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