Saab News: American Salvation for Saab?

Update: 13: 22

Victor Muller is in the US to find a new savior for Saab. Once again. According to Dagens Industri, this agreement will be signed by the end of the week or the weekend.

Just ask yourself what kind of investor is and what he brings. As usual, he will probably just hand in to the next wages and a round of breakfast sandwiches. If we take a closer look at Victor Muller's plan, we have the following shareholder structure in mind.

Following a capital increase, investors Pang Da and Youngman hold 51% of Saab. Muller himself, he lets himself credits loans to the carmaker on the capital increase, holds scarce 30%. If we were in 81% firm hands, the old shareholders from Spyker times hold only 19%.

This is what the shareholder structure of Victor Muller looks like, if the plans are still up to date. Numbers have the advantage of being precise joy. Victor Muller can not sell more than 100%.

In order to start production and maintain it permanently, at least € 70 to 100 million are required. So what does Muller want to sell to get this money? Saab's intellectual property, patents and rights are pledged, the spare parts business - the profitable pearl, as well. Real estate was sold for little money, the substance is gone.

The production is over 4 months, every day is destroyed completely meaningless money. The situation is more than annoying, because the brand suffered badly from Muller. Because the customer base in Germany disappears like the ice in the sun. If the German customers have accepted the standstill in Trollhättan so far, the understanding has gone out in the last weeks.

Saab is losing massively loyal existing customers in the leasing business who can no longer wait. What i understand. There have been reports of churned customers from many sources who did not like doing so. These customers are gone, for sure for the next 2 to 3 years. Bringing a lost customer back to the brand in the leasing business is difficult. Especially for Saab, especially in competition with German manufacturers with subsidized leasing rates.

It's sad because Saab will have a harder time in Germany than ever. Muller should finally let someone behind the wheel who understands something of the car business. Supervisory board, board and everything else in one person does not work. Muller has had enough chances, he has not brought a solution this year, but increased the debt massively. Maybe the solution comes from the USA. Maybe Muller surprises us and lands the big coup. Which is unlikely.

The share of Saab's mother Swedish Automobile makes quite interesting course jumps today. Which is interesting for two reasons. Opened at the low of 1.19 €, then tested the 1.70, has currently landed at 1.50 €. What does the look in the glass ball say? The cost of the Gemini bond, which Muller has once again used for salary payments, depends on the stock price. The higher, the better for Saab. Or maybe it's an indicator of a solution that is coming? The glass ball does not reveal more.

Update: Eric Geers of the Saab Press Office denies a new investor. The message does not come from Saab. Muller was in the US, he confirms that, but where Muller is now, he does not want to share. Hmm.

Text: tom@saabblog.net

17 thoughts on "Saab News: American Salvation for Saab?"

  • I agree, I was already Mac User when they were on the tip (small analogy 😉
    It was more about showing that 100 Mio does not always have to be a lot of money.
    Audi was also ailing and is now very flourishing, Volvo is not so bad and even Porsche came with small numbers on great profits and the latest example Jaguar / LandRover / Tata also looks promising.

    I'm sure, Saab can make money, if you get it right from the marketing side as well and emphasize the distinctive features of Saab (design and individuality). For all the safety and quality I can only say that must be standard in this class and certainly not a USP.

  • I see exactly that, there was no alternative to VM. At the time nobody wanted to reach Saab.
    In this respect, we have a lot to thank VM, who now fights alone because old warriors left him alone.
    But he will hardly get the basic problem of lack of liquidity under control, I think. He can sell nothing soon.
    And as Marcus says, who else but a bankruptcy trustee wants the job right now? You have to believe in Saab to do what VM does.

  • Incidentally, I'm a Saab driver and Mac user ... so of course I also think that the two go very well together! 😉

    However, I find the Apple example not very apt. If 100 Mio may not be much for investors (for Apple it would be a joke with the current 76 billion dollar cash reserves), but 100 Mio are just a lot, if you have to expect, never or at most very, very late profits (or at least the investment) to expect (we should not forget that Saab the last decades, I believe has never made profits).

  • I can only agree with your opinion.
    no one else would fight so hard for saab's survival - and set the right course for the future.
    vm started with too little capital, that was probably clear to all, but what was the alternative?
    For a while he made the mistake of publishing everything immediately and then had to pay a heavy price.
    he obviously also learned from it and i'm still sure that he will present a solution that baffles everyone.

    of course he urgently needs a team in the background. To get good people here, but must first vote the basis and there he is well off.
    who would want to have these posts currently?

  • Mmh. Was that just an example with Apple? Would be an interesting approach. Maybe the target group fits, and both products are sophisticated in terms of design and technology ...

  • So, of course, I also dearly wish that Saab lives on (if only so that my next car will be “one of the fastest living rooms in the world” again) !!! 😉

    But I'm always wondering who wants to join Saab now, even if nobody wanted to do it before 1 or 2 (or even earlier)!?!?

    And how many independent car companies are there still, which bring it to under / around the 100.000 piece / year?

    What I think of VM, I have already let it through here.
    And which American company should be interested in Saab now (and why not earlier)? What would Saab be suitable for? Who would “need” the Swedes as a brand anyway?

    As I said, I really hope Saab can do it !!!
    But because of all this “ping-pong ping-pong” (Europe, USA, China, etc.) and this “shuffling around” my trust in the rescue and the seriousness of the “company” (not the cars!) Has lately decreased somewhat ... Unfortunately! 🙁

  • 1. Equities can also be diluted (diluted), if only with the approval of existing shareholders, and moreover, money can come in not just through stock and sales, but via loans, albeit not cheap at Saab's current situation :-(.

    I'm not an explicit fan of VM right now and I'm sure he did not do anything right (showing me who did everything right in this situation), but he's the only option at the moment and if he's not on Saab anymore Without having created a base, I really see black.

    I also believe that there is something to it and for certain people / investors 100 million is not the world (Apple's profit in one quarter is 7 million !!) and they are looking for the (calculated) risk. If it works, the capital is multiplied x-fold. America has always been the country of risk investing, so we in Europe could easily learn a thing or two about it. Let's be surprised, Saab is probably in the intensive care unit (once more), but is far from dead!

    And one more thing: 1'000 orders in July for an idle production are, from my point of view, impressive testimony to a loyal customer base.

  • We shouldn't forget one thing, I think without VM and his vision our understatement brand would no longer exist. What the company is currently missing is a Jan Ake. Together they complemented each other perfectly. VM is only about to delete and the question is when he asks himself the crucial question, which comes first. Saab, or his health! How long does he want to hold out on this gauntlet? His visions were contagious, now he needs a solid (personnel) foundation to implement and a good investor. So I support Detlef Rudolf's statements. I think most of us have already had one or the other experience with a bank. The work here at the EIB was very counterproductive. And who knows on whose orders! I think it was deliberately acted here to give other investors the opportunity to buy Saab very cheaply, so that later the profits flow into other pockets and thus large commissions to the bank.

  • To the update: If Mr. Geers denies something with such short words, then there is definitely something to it. - Not only clumsy, but actually dubious, I feel the statement that he does not want to comment on the current whereabouts. After all, there is an interested public.

  • Muller is damaging to Saab's reputation. A different investor every week. Maybe we should send an open letter to Saab, the EIB and the government…. 😉

  • 😉 We can do a collection of signatures, like the trade unions in Sweden do ... This is also about our health ... nerves! 😉

  • ... the Hol (b) l (e) änder has to go !!!

  • Hi Detlef,
    it would be nice if it goes on… but as you already write… ”(if the company is well managed)” and many, including me, have a bit of stomach ache… because 11.000 orders are far from being built and if things stand still for a long time probably not built either!

  • Hallo,

    well, if the good Mr. Muller still raises a savior, then it can only get better.

    Greetings from the Spessart
    M.

  • Hi all,

    I do not share the negative view in some comments for the following reason: SAAB still has the possibility to become a highly profitable company due to its international following (at the moment there are already approx. 11.000 orders) (new very good model range, still one) good team in Trollhättan and much more).

    With good future marketing there will certainly be thousands of new customers worldwide - that Germany is only a small market for SAAB, has different reasons, some of which are not even understandable, but on the other hand play a subordinate role in the overall development.

    Of course, investors also see the opportunities on the world market in a “waiting position” - and this is exactly what will bring them decent profits in the future (if the company is well managed) - let's see what comes in the next few days.

    Greetings from Schleswig-Holstein
    Detlef Rudolf

  • Hallo,

    I always have a look in here in the morning because I find this very interesting. And somehow it has something of a sequel thriller, even if one in which the main actor is unfortunately our beloved brand ...
    Unfortunately, I can not see anymore that Saab can still be saved. Everything is pledged and sold, the money is senselessly burned for workers sitting at home. In the end, Saab can not even be bought by a big guy, because in the final defect, there is nothing left to put together.
    But there are already virtual factories today and we are fantasizing, why not Magna, for example, in the future to manufacture the Saab's without any Saab factory. And other models in turn Velmet? Saab again the creative little one?!?
    Well, as I said, morning fantasies

  • Hi all,

    I check here almost every hour to see if there is anything new, which is probably due to the very interesting spelling of the admin! Really really good….
    But what comes out to the public about SAAB is more likely to cry ... It's really a shame for the great brand, but what Mr. Muller is doing there ... man, oh man ...
    What happens if the Chinese cancel their contracts because of deception, can that happen? If the guy sells everything everywhere but there is almost nothing left? 😉
    Well then ... a sunny day ...

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