Saab Car Finance: A modern financial dilemma.It has been a summer and winter of discontent and tension for the employees of Saab Automobile, the Swedish manufacturer famous for safe but often rather mundane saloon cars has been in financial turmoil since GM announced their plans to sell the outfit.
It has been a summer and winter of discontent and tension for the employees of Saab Automobile, the Swedish manufacturer famous for safe but often rather mundane saloon cars has been in financial turmoil since GM announced their plans to sell the outfit. With potential buyers in and out of the headlines, it seemed the equally Swedish and bonkers supercar maker Koenigsegg were initially going to save Saab from the pages of history. However, that deal quickly turned to dust, and it truly left Saab in a financial position that was a pickle to say the least.
Enter Spyker Cars, if we liken all car manufacturers to superhero’s then Spyker are undoubtedly Superman; saving the day with their Dutch bravery and bravado. Doubts however over the supercar company’s ability to afford such an expensive investment as Saab, became ever more apparent. Since then Spyker have started marketing PR with their car finance and Victor Muller, Spyker chief executive did admit that the $400m deal was quite a high mountain to climb. Muller claims that a third of the total amount, which is around $74m, has yet to be acquired, but despite this vast amount of money still to be paid, Spyker are adamant that the deal will be completed within the new few weeks.
It isn’t surprising why such lingering doubts are hovering over Spyker regarding their buy-out of Saab from GM. The small scale company only sells a few dozen hand-made supercars each year. While they are probably Amsterdam’s finest export, it is debateable whether they are a household name in the worldwide motoring market.
Car loans and car finance are regular business within the public sector. We buy a car either by cash or take out a finance agreement. However Spyker are looking for an EIB, which is effectively a government loan that will allow the Dutch outfit to continue with the deal and secure the rest of the remaining money from potential investors.
Posted by Edwin Miles on