Breaking: Koenigsegg Cancels Purchase of Saab

Breaking: Koenigsegg Cancels Purchase of Saab
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Swedish supercar maker Koenigsegg has canceled its plans to buy the struggling Saab brand from General Motors, leaving the future of the brand in jeopardy.

“We’re obviously very disappointed with the decision to pull out of the Saab purchase,” said GM President and CEO, Fritz Henderson.  “Many have worked tirelessly over the past several months to create a sustainable plan for the future of Saab by selling the brand and its manufacturing interests to Koenigsegg Group AB. Given the sudden change in direction, we will take the next several days to assess the situation and will advise on the next steps next week.”

The news isn’t entirely surprising and has so far been par for the course after GM’s decision to sell its Saturn brand to the Penske Automotive Group fell through a few months back. And just a few weeks ago GM reneged on its plan to sell its European Opel brand to a group headed by Canadian autoparts maker Magna International Inc. GM is in the process of closing its Pontiac brand and is still working to sell-off the Hummer brand to Chinese heavy industry company Sichuan Tengzhong – although it wouldn’t be a surprise to see that deal now fall through.

The move to sell off the brands was part of GM’s larger restructuring plan, arranged as a part of the company’s bailout by the U.S. and Canadian governments.

It is not clear if GM intends to find another buyer for Saab, to keep the brand, or to shut it down. The situation is certain to delay the launch of the all-new 9-5 model.

[Source: Automotive News]