Saab and Spyker enter into MOU with Pang Da Automobile
Saab live its ninth life. Every time, when the company is about to collapse, there is a "Messiah", who stands behind the manufacturer and helps.
This time, the "Mesiah" is the Chinese auto distributor Pang Da Automobile Trade Co Ltd that will save Saab from bancruptcy. The owner of Saab - Dutch company Spyker Cars has announced a new deal with Pang Da Automobile. The deal is worth €65 million over the medium term. But Saab will get a much needed cash infusion of €30 million right away with another €15 million coming at a later date. Not bad, at all!
The MoU between Spyker, Saab Automobile and Pang Da contains the principles on which the parties will establish a 50/50 joint venture for the distribution of Saab-branded vehicles in China.
However, for these 65 million Euro, Pang Da will receive a 24 percent stake in parent company Spyker. Over the long-term the deal could be worth up to €110 million.
"Both parties are confident that this partnership allows Saab Automobile and Pang Da to create a strong business, initially in the distribution and subsequently in the manufacturing of Saab vehicles in China.", commented Victor Muller, CEO of Spyker and Saab Automobile.
"Pang Da is a forward-looking, profitable and well-capitalized public company that, as the single largest automobile distributor in China, sees enormous potential for our brand in their home market. We will work hard to finalize the relevant agreements and firmly establish Saab in the world´s fastest growing car market. Pang Da taking a substantial equity stake in Spyker underlines their confidence in our plans for the future and China in particular.", he added.
"This partnership allows us not only to distribute Saab, the iconic European premium brand, in China but also to set up a manufacturing joint venture which will further enhance the competitive position of the Saab brand in China.", finished Mr. PANG Qinghua, CEO of Pang Da.