Yesterday's news that North Street Capital was buying $10m in Saab shares and loaning them an additional $60m was surprising, but the bigger question was what exactly did Saab put up as collateral for a whole lot of money in a very short span of time. Considering today's news, we may find out sooner than later.
Saab, sick of dealing with the endless promises and red tape from China's Youngman and Pang Da, has essentially told the Chinese firms that if they like it they shoulda put a ring on it.
"SWAN has requested confirmation from Pang Da and Youngman that they are able and willing to consummate the agreements that are signed. That confirmation has not been received to date. Further discussions are ongoing." read the statement by Swedish Automobile N.V. (SWAN)
More bad news followed.
"Yesterday the administrator filed an application to terminate the voluntary reorganization process with the District Court in Vanersborg, Sweden. The regular procedure prescribes a hearing of the arguments of both the administrator and Saab Automobile. Saab Automobile has until 27 October 2011 to reply. The court has informed Saab Automobile that it shall decide on this case on 28 October 2011."
Saab goes on to say that in light of the current circumstances, they will publish Q3 results on Nov 30 instead of on October 28.
With this new information, it looks like Saab is done by next Friday. Unless Youngman and Pang Da can free up cash (and government approval) quickly -- not likely.
kain77 says:
11:20 AM, 10/21/11
"... that if they like it they shoulda put a ring on it."
*facepalm*
blueprint1 says:
12:16 PM, 10/21/11
SWAN song.
mrryte says:
05:49 AM, 10/22/11
Pity....I was looking forward to the next gen 9-3 but that looks to be a lost cause now.....