Saab deal terminated
Spyker Cars N.V. said talks with Hawtai Motor Group Company Limited (Hawtai) with respect to funding and strategic partnership have collapsed.
As a result of this termination, Saab Automobile may enter into a strategic partnership with Hawtai or another Chinese party on manufacturing, technology and distribution in China.
“As indicated in the press release of May 3 2011, the transaction with Hawtai was subject to definitive transaction documentation and certain conditions, which included the consent of different stakeholders,” Spyker explained.
“Since it became clear that Hawtai was not able to obtain all the necessary consents, the parties were forced to terminate the agreement with Saab Automobile and Spyker with immediate effect.”
The parties will reportedly continue discussions about a possible cooperation, though Spyker said it is on a non-exclusive basis.
The Dutch car maker has been looking to secure short and medium term funding for a few months following Saab’s poor first quarter results. It said both are now negotiating equity and debt financing and/or technology licensing with various (strategic) Chinese partners.
Discussions also continue with the European Investment Bank (EIB) on completion of the current EUR29 million drawdown under the EIB loan facility, on obtaining EIB consent for the sale of Saab property released under the collateral of the Swedish National Debt Office (NDO) and on various conditions proposed by the EIB.
As soon as the EIB drawdown or other equivalent funding is confirmed, Saab said it plans to restart production depending on the outcome of discussions with its suppliers on terms to resume supplies of materials and services to Saab Automobile.
