Liquidator appointed to wind down Saab, GM to assess bids (Roundup)

Jan 8, 2010, 15:40 GMT

Stockholm - A liquidator has been appointed to wind down the loss-making Swedish carmaker Saab, union representatives said Friday at the carmaker's main plant in south-western Sweden.

Saab's owner - US giant General Motors (GM) - issued a statement confirming the move, saying it was 'a commonly-used process in Sweden and works in the interest of the shareholder.'

The process was expected to take several months, GM said.

GM said 'it has received several proposals for Saab and is continuing to evaluate these proposals,' adding that this was not affected by the appointment of AlixPartners as liquidator.

'This really angers us since we have received several good bids,' Saab blue collar union leader Paul Akerlund told Swedish radio news.

Akerlund was referring to last-minute bids announced Friday by bidders, including one backed by Formula One boss Bernie Ecclestone.

'While GM says it was to assess the bids, they send in a liquidator. It makes no sense at all,' said Akerlund, who is also a member of the Saab board.

A liquidator supersedes the board. Union representatives said they had protested the move.

Luxembourg-based investment company Genii Capital earlier Friday confirmed it - along with Ecclestone - was in the running, saying Saab 'has a tremendous brand value in a number of key automotive markets as well as an innovative image.'

Swedish financier Lars Carlstrom was also part of the group, Swedish financial daily Dagens Industri reported.

GM last month said it aimed to wind the Swedish carmaker down after failing to find a buyer but was reported to be analyzing the latest bids.

Dutch-based niche sports car group Spyker Cars on Thursday presented a revised bid after an earlier offer in December was rejected by GM.

A third grouping also had Swedish ties and included Hakan Samuelsson, the former chief executive of German bus- and truckmaker MAN, and Jan Nygren - a former cabinet member and ex-vice president of Swedish aerospace contractor Saab.

'Many, not only me, believe that it would be unfortunate for many reasons if Saab as a product and a brand disappeared,' Nygren told Swedish radio news, confirming his interest.

Nygren served as a Social Democratic cabinet member in 1994-96 before he left politics.

Samuelsson last year stepped down as chief executive at MAN.

On Thursday, Joran Hagglund, state secretary at the Swedish enterprise ministry, said he had met with representatives of the two Swedish groups that were working with members of Saab's management.

Hagglund was Saturday due to travel to Detroit for talks with GM.

Saab has some 3,400 employees in Sweden, most are based at the main plant in Trollhattan, south-western Sweden. An additional 3,000 positions with subcontractors are at stake, according to the Automotive Supplier Industry.

GM's interest in Saab - one of Europe's smallest carmakers - dates back to the early 1990s. The company took full control in 2000.