Around the Net

Saab Saga Continues: GM May Block Sale To Chinese Consortium

General Motors Co., Saab's former parent, might block the sale of Swedish automaker Saab Automobile AB to a Chinese consortium because the Detroit automaker, which is also the largest automaker in China through its joint ventures, is concerned about the intellectual property it has licensed to Saab.

Saab, which is reorganizing in Sweden under court protection from creditors, has faced mounting financial problems this year as several funding sources fell through. It has built few vehicles since late March, and its employees have suffered through payless paydays.

Pang Da Automobile Trade Co. and Zhejiang Youngman Lotus Automobile Co. said last week they had agreed to buy Saab from its Dutch owner Swedish Automobile NV for $140 million.

advertisement

advertisement

Read the whole story at The Detroit News »

Next story loading loading..