Chrises Cars

As of 12.45 this afternoon, today, Spyker is now the new owner of Swedish car manufacturer Saab.

I wrote an article last December titled “Saab era comes to an end” which was about General Motors closing the doors to any more bids for the non profit making company Saab and winding it down. Despite this, Spyker continued to negotiate with GM until today, the day they finally purchased Saab.

According to The Wall Street Journal, Spyker will contribute $74 million in cash for the deal and the European Investment Bank will provide $556 million. GM will maintain about $326 million in shares, or 1% of voting rights.

So what is Spyker getting from this deal? They will be receiving the factory in Tröllhattan, Sweden, that employs 3,500 workers, the brand-new GM Developed Saab 9-5 and the $600 million in promised loans from the European Investment bank.

Supercar company Spyker haven’t made a profit in the last 10 years and have no experience in high volume production.

So will Spyker be able to turn Saab back into a successful and profit making company? Only time will tell.