Saab News Sweden: State aid for Saab?

The Swedish government seems prepared to play an active role in the Saab rescue. Several sources report that the administration in Stockholm is ready to replace Saab's loan with the EIB in Luxembourg with state funds.

The goal is to use the National Debt Management to convert the funds into Swedish automobile stocks and then sell the stock package to a (Chinese) investor.

Guy Lofalk, the court-appointed administrator, was in China last week and had a meeting there with Youngman, Pang Da and Geely. Geely is only interested in parts of Saab.

Lotus Youngman, one of the investors, has now spoken to Dagens Industri. "Saab has not yet met all of the conditions," said Rachel Pang of Youngman. "As long as the conditions are not met, we cannot pay". Saab is still waiting for € 70 million in license fees.

The message sounds good and I like it. Because the EIB loan of 2.2 billion crowns hangs for months like a millstone around the neck of Saab. It impedes any entrepreneurial development and I understand that no investor will give you a penny unless the loan from the Luxembourg bank has been replaced.

If the Swedish state of Saab manages to get out of the grip of the EIB, it is a big step for Saab towards the future. This step could also be a decision for the next NDRC decision in Beijing.

Text: tom@saabblog.net