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Re: Saab buyer options...
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Posted by James [Email] (more from James) on Wed, 20 May 2009 11:27:06 Share Post by Email
In Reply to: Saab buyer options..., Clay McNeely [Profile/Gallery] , Wed, 20 May 2009 10:27:20
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If that rumor is true, it is a little concerning to me. If press releases can be believed, Saab was not in talks with Fiat until very recently and (not even in the "30 interested parties"). Quick changes in strategy are risky... Like you say, Fiat is probably biting off way too much: Chrysler + Opel + Saab all at once. Anyone who's worked for a large company involved in major acquisitions will realize that it can be very challenging to integrate new business units. Often, acquisitions are a great way to kill a competitor + pick up some technology. Fiat integration could prove deadly for Saab!

Probably I am out of touch, but I had not heard of Koenigsegg before. Neither had a friend of mine who is into high end sports cars. This makes me skeptical that Koenigsegg is well enough capitalized to succeed (even if well intentioned)... their super cars look cool though!

In a sense, the junk bond king might be the best of the 3 - he'll want to make a profit, and seems to have a record to prove it. Saab effectively becomes a startup working with a VC? no?

I was hoping to see some form of Swedish industrial or investment conglomerate in the short list. From Saab management comments, it sounded like they were seeking such an investor. I would speculate that GM has a (massive!) hand in the final outcome and is seeking something quite different: maximum short term cash.

James...


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