USA Today - A second Chinese deal will bring Saab's infusion of needed cash to 245 million euros ($351 million) and put a total of 53.9% of Saab owner Spyker cars in Chinese hands.
Saab said today that Zhejiang Youngman Lotus will pay 136 million euros for a 29.9% share of Spyker and joint ventures to make and distribute Saabs in China. And Saab's earlier Chinese partner, Pang Da, will raise its investment to 109 million euros to keep its 24% stake.
Spyker original deal last month with Pang Da, a distributor of several foreign car brands in China, was for 65 million euros. That allowed Saab production to briefly restart after being shutdown since April 6, but the line shut down again last week due to continuing supplier issues.
Spyker CEO Victor Muller told the Associated Press that today's deal "significantly strengthens Saab's financial position" and that Pang Da and Youngman are entrepreneurial companies that "will be instrumental to establish Saab's presence in China."
Youngman CEO Pang Qingnian told the AP he'd been talking with Saab for a while about a deal to make cars in China. "We feel that Saab as a premium European brand appeals strongly to the taste and preferences of the Chinese customer."
The deal includes a manufacturing joint venture owned 45% by Saab, 45% by Youngman and 10% by Pang Da and a sales venture that is 33% Saab, 33% Youngman and 34% Pang Da. The deals still will need approvals by Swedish, European and Chinese officials.
