SAAB Location: Trollhattan and Leipzig
Saab has actually made it to the AMI. Friend and fellow blogger Mark has taken over the coverage and actually it could have been a good day yesterday. Because the cult brand in the special exhibition of the VDIK can show flag is not self-evident and the result of much commitment. A good friend has already sent the first photo of the sonnet. Yes, she is really at the fair.
If it were not for the cacophony in Sweden that would cause us to write mainly about economics and not about cars and Saab internals. There would be a lot to tell, but that will come later. What about the events in Sweden?
A Swedish friend told me his version of things yesterday and what he says sounds plausible. He sees that it is about money and politics, and both are interconnected. The problem, he says, was some time ago the state-owned Saab Parts AB. That is highly profitable like any car manufacturer. In the after-sales area, the producers get their profits and therefore, rightly, the price for the Saab daughter in Nyköping is not a special offer. 2.2 billion crowns are on the price tag and discount negotiations are not even started. This is legitimate and responsible to the taxpayer.
Buyers who want to pay this price do not seem to exist. And those who would buy are not what the administrators want. A few weeks ago, Mahindra signaled chronic reluctance to pay the full price. It is similar with NEVS. You want some parts from Saab that are needed for electromobility - and - maybe the spare parts business. But better not. Because a car manufacturer who is on board at NEVS wants the spare parts history beyond the consortium for itself.
NEVS would be a real reboot from any Saab tradition. Responsibility for all already produced models would be in other hands. So looks like the continuation of a traditional brand? At the moment everything is in the air and everything is possible. Why the electric car consortium with its ridiculously small bid plays a role only becomes clear at second glance.
To get the best price for the creditors, the package was divided into seven handy packages a few weeks ago. Believing that Mahindra or Youngmann would buy the complete table with all the packages, the administrators saw themselves at their destination. Then NEVS picked the most beautiful packages from the table - which one is not entirely clear - there are different versions. Youngman was unable to provide proof of creditworthiness and was eliminated from the job. Mahindra was very passive. The plan stopped working. So much for our friend from Stockholm.
The situation is not good. But it's not too late yet. Politicians in Sweden are now getting the receipt of a failed strategy in the Saab affair. If one had shown courage and taken the US-style corporation under state custody, then one could quietly look for a buyer for a running company. There would have been no discussion about recoverability. But now we are talking about a company with no production. Politics should look the ugly reality in the eye and realize losses now. The faster the better.
After all, once the state-owned enterprises have been permanently separated from the automotive business, they will continue to lose value. Then the losses will be even higher than currently.
The more time lost the worse for investors and brand. The administrators, so far confidently on the way, will come under pressure soon. The process devours enormous sums and was designed for a near-term end. Any delay puts the funding issue on the agenda. The administrators could see themselves forced to sell in parts. The consequences are clear.
Meanwhile, some nerves in the community are blank. I have seen it in the emotional emails that have fluttered into my mailbox yesterday and today and I understand that. But no matter what our preferences are. Whether we like Indians or Chinese. Or rather turbos than electric cars. We should stay factual and fair and consider what we write. So far this has always worked very well. Even if yesterday's day did not go as hoped. Let's stay cool!
Text: tom@saabblog.net
What actually prevents the administrators from transferring the required amount from sales proceeds (Youngman-Lotus) to the Reich debt administration - even if this were the bear's share of the sum? I assume that the other creditors would also agree with less than expected. As is well known, they are now mainly concerned with resuming operations.
Youngman-Lotus seems to be the only party really motivated to integrate or continue SAAB-Parts as new owner.
What is the problem - it shouldn't be acceptable for this newly founded NEVS consortium to block everything here with a mini-bid !!
well ... that's exactly what I ask myself.
It cannot be that this waiting and ignorance continues ...
I can not anymore…
We have been waiting for 5 months ... that can't be that .. how many lawyers are that again? Does anyone know exactly?
How much money do they cost per month?
I just want to ask the amount you paid to the attorneys for what you are arguing about who will be the buyer of Saab.
It's just all stupid ... I'm sorry ... I had to find out.
It is of no use if NEVS wants to pick up the so-called most beautiful parcels, but the available bid should only be € 150 million! These people are not interested in SAAB-Parts or a NEVS affiliated automobile manufacturer should take over this division. Even with this bid, you would probably not be able to match Youngman-Lotus's overall bid.
The € 400 million offered by Youngman-Lotus (including SAAB parts) does not seem to reach Mahindra's bid either and the bid should finally be accepted - even in the case of individual sales of the 7 packets, it would appear that do not reach the Youngman bid total and just waste more time!
The procedure of the administrators threatens, if it continues like this, to get out of hand - the hammer should fall soon for Youngman-Lotus!
Greetings from the Hanseatic city of Hamburg
Report on the AMI 2012 with sonnet image in stern.de:
http://www.stern.de/auto/news/neuer-anlauf-1835269-ed45c71ade765a37.html
“Because a car manufacturer that is on board at NEVS wants the spare parts history beyond the consortium for itself” Sounds a bit like Rover. There, the spare parts have also become extremely expensive.
"Because a car manufacturer who is on board with NEVS wants the spare parts history beyond the consortium for itself"
Hi Tom,
Thank you for your update!
Do you have any non-confidential, non-speculative information about this "automaker"?
Best regards,
Alexandros.
Great report! Since we all do not know about 100%, what's going on behind the scenes
It is very professional to report without judgment.
In the end, it doesn't matter to me whether the Chinese, Indians or someone else is pulling the strings - it's only important for me and I don't just think for myself that there will be new Saab again soon ...
Well written and in a nutshell. The time is running and somehow the parties should use the WE to come to a solution.
In addition, the purchase of Saab Parts AB would also be possible through self-financing in installments. Quasi Münchhausen, who pulls his own hair from the swamp.
A brand without culture / Geritage has no corresponding clientele anymore. A company must have culture. No patch, but inside out. That will probably not bring NEVS. Too bad, but that's how Asian people are. In such a case, it could be good if Saab Parts AB continues to operate independently.
It is time for action to finally follow. The Swedes are known to be calm and prudent, but eventually it may take too long for decisions to be made. A company that does not produce and constantly lose value can not gain in value. The Swedish government had a chance and did not want to use it, and in my opinion it is demanding too much. Every home builder knows that the reason must not be too expensive, because otherwise only a dog kennel is the result. And that goal should actually be to lead Saab by a new owner out of the crisis, rather than to send them to the next one! Anyone responsible for insolvency should be aware of this!
Hello Tom.
Nice report and not judgmental. Tip top.
We are all only passive participants in this deal anyway ...
It sure will be positive.
Best regards
Walter