China’s Youngman puts in yet another bid to purchase Saab
Just days ago, we brought news about how Swedish Automobile - which used to consist of Saab and Spyker – was dissolved, as both companies went their separate ways. The only difference between the two is that Spyker is still a viable business while Saab is still crippled with debt with absolutely no known development currently taking place.
Chinese mega-company Youngman put in a multi-million dollar bid to purchase Saab in its entirety from GM a few months ago, but General Motors swiftly denied the offer and once again Saab’s future was left in limbo; the same position which has faced the company for the past few years. Even with Youngman’s promise of putting upwards of $1.5 billion into developing new Saab models over the coming years, GM still wasn’t swayed, but to our surprise that didn’t put Youngman off in anyway.
As a result, Youngman has put in yet another bid to purchase Saab, this time for the sum of $470 million at current exchange rates. In addition, the $1.5 billion promise of development still stands, so in total Youngman is willing to spend almost $2 billion to prop up Saab which currently has a debt of around $2 billion, so it sounds like quite a reasonable offer to us.
However, don’t for one second think that this offer will be accepted, as Youngman also has to compete with Indian company Mahindra & Mahindra who have also reportedly put at least one bid into the acquisition of Saab.
In all honesty, we’re not really sure why so many companies are fighting over Saab, as the brand’s reputation has been tarnished massively over the past few years. Nevertheless, we hope all the bidding parties well and hopefully Saab’s debt saga can be put to rest soon enough.
Source: The Local