Chinese Investor Zhejiang Youngman Lotus Automobile Poised to Make Takeover Offer for Saab Automobile Bankruptcy Estate
Zhejiang Youngman Lotus Automobile, a Chinese investor, is preparing to submit a takeover bid for the bankruptcy estate of Saab Automobile, according to a statement from spokesperson Johan Nylen. The offer will cover either the entire Saab company or operations not reliant on technology licensed from Saab's former owner, General Motors. This move comes as Saab's current owner, Swedish Automobile NV, filed for bankruptcy due to GM's refusal to accept a plan to sell the company to Chinese investors.
Key Takeaways:
- Zhejiang Youngman Lotus Automobile is planning to submit a takeover offer for the bankruptcy estate of Saab Automobile, covering either the entire company or independent operations.
- The bid will focus on Saab's new platform, Phoenix, which requires further development.
- The Chinese investor is in talks with General Motors and Saab's liquidator to acquire other operations not dependent on GM technology.
- A potential bid from Youngman may take two years before Saab develops the new Phoenix model and resumes production.
- The takeover offer is a result of Saab's current owner, Swedish Automobile NV, filing for bankruptcy after struggling for nine months to rescue the company.
- Saab's bankruptcy is attributed to General Motors' refusal to accept a plan to sell the company to Chinese investors.
Statistics:
- Saab Automobile has been in financial difficulties for approximately nine months prior to its bankruptcy filing.
- General Motors still licenses key technology to Saab.
- Saab's new platform, Phoenix, requires further development.
- The potential takeover offer from Zhejiang Youngman Lotus Automobile may take two years to complete.
- The value of the takeover bid is not specified in the provided text.
Sources:
- M2 EQUITYBITES via COMTEX, Dec 20, 2011
- Dagens Industri (DI), 20 December 2011
- Comtex SmarTrend Alert, 12-16-2011