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Posted: 6/16/2009 12:17:44 PM EST



Holy shit this is awesome!

Well this comes as a bit of a surprise. Scandy automaker Koenigsegg, most well known for making a two-seater supercar of prodigious performance, has just put the final ink on the contract to buy Saab. What’s most interesting to us, the gearhead, is that Koenigsegg makes fast cars, and Saab has been known to make a fast car or two in the past. So what will the future hold?

General Motors made it official this morning that a consortium representing Swedish supercar manufacturer Koenigsegg will purchase the beleaguered Saab unit that GM bought a while back for no clear logical reason. At the moment, this is “just” a signed a memorandum of understanding, the big business equivalent of a promise ring, but barring some huge money problems, the deal is most certain to go through.

In the short term, this means that officially, Saab will once again be a fully Swedish automaker, which is good. I don’t like it when Group Of Rich Guys from Foreign Country “A” end up owning Lotus or Bugatti or, for that matter, Saab. It’s sort of like an NFL franchise leaving the city it started in, it just feels wrong.

Jan Åke Jonsson, Managing Director of Saab Automobile AB said, “The proposed agreement will enable us to maximize the brand’s potential through an exciting new product line-up with a distinctly Swedish character. Today’s announcement is great news for Saab’s current and future customers, dealers, suppliers and employees around the globe,”

Under the terms of the memorandum, signed by all three automakers, Saab, GM & Koenigsegg, General Motors will continue to provide architecture and powertrain technology for a “defined time period.” Which is a polite and legalese way of saying that what is already in the works will stay on path. So, Saab’s 9-3, the next-gen 9-5 and forthcoming 9-4x, all products of existing GM technology, will all roll out as scheduled.

Via a GM-only news release, it was announced that the next-generation Saab 9-5 will be built in Saab’s Trollhättan, Sweden, assembly plant. Assumedly Koenigsegg will take possession of that historic auto plant, which is cool on a number of fronts, most of all because it’s named Trollhättan.

The deal should be done by Q3 of this year and it’s anticipated that a $600 million commitment of funding from the European Investment Bank will also come along with the deal. Saab is putting up some money, but just how much is unknown at this point, as is the price of the sale to Koenigsegg.

So this is good news over all. Good news for Saab, good news for Koenigsegg and it is very, very good news for GM

In the past two weeks, GM has: Filed for Chapter 11 bankruptcy, sold Saturn to Penske Automotive Group, sold Hummer to Sichuan Tengzhong Heavy Industrial Machinery in China and offloaded the majority of Opel to Magna Styer.



http://www.automoblog.net/2009/06/16/koenigsegg-buys-saab/

http://www.autoblog.com/2009/06/16/koenigsegg-meet-saab-saab-meet-koenigsegg/
Link Posted: 6/16/2009 12:22:57 PM EST


If GM had just concentrated on making an better, union free American car instead of trying to buy up foreign car manufacturers, it might not belong to Obongo today.
Link Posted: 6/16/2009 12:23:50 PM EST
I never have like the lines on a Saab though.

I never understood why GM bought it either.

Can they just buy GM?
Link Posted: 6/16/2009 1:03:21 PM EST
Saab has some of the best automotive engineers in the world and has given us some of the greatest innovations in automotive history.
Koenigsegg is responsible for creating my favorite car (CCX). I was really surprised when I heard this, but I'm stoked to see what happens.

Here's the hilarious part: Volvo owns a (very minuscule) portion of Koenigsegg. IIRC, they bought some shares in exchange for Koenigsegg to use their windtunnel facilities.
So, technically, Volvo owns a portion of Koenigsegg, which owns Saab

(SAAB > Volvo)
Link Posted: 6/16/2009 1:07:19 PM EST
Awesome! I can buy a Saab again!
Link Posted: 6/16/2009 1:44:32 PM EST

Originally Posted By kap_x:
Saab has some of the best automotive engineers in the world and has given us some of the greatest innovations in automotive history.
Like what? Not a jab, I am simply ignorant of Saab.
Link Posted: 6/16/2009 2:06:52 PM EST
[Last Edit: 6/16/2009 2:07:47 PM EST by WhackyPlague]
Originally Posted By jeremy223:

Originally Posted By kap_x:
Saab has some of the best automotive engineers in the world and has given us some of the greatest innovations in automotive history.
Like what? Not a jab, I am simply ignorant of Saab.


http://en.wikipedia.org/wiki/Saab_Automobile#Innovations
Link Posted: 6/16/2009 6:07:35 PM EST
A guy I know has an older 9-3 turbo thats been well modded and puts down some pretty impressive numbers.

Link Posted: 6/16/2009 10:23:40 PM EST

Originally Posted By MadProfessor:
A guy I know has an older 9-3 turbo thats been well modded and puts down some pretty impressive numbers.


A (heavily modified) Saab 9-3 used to hold the open-class record for the Pikes Peak Rally. They may still, I'm not sure.
Link Posted: 6/17/2009 1:02:43 AM EST
Well, maybe they will make SAAB a nice car again.
Link Posted: 6/17/2009 3:41:02 AM EST
Link Posted: 6/17/2009 4:50:18 AM EST
This deal makes no sense at all. Koenigsegg has only 40 employees and built a total of 18 cars last year. Saab built over 5,000 cars last year for every one that Koenigsegg built. Saab literally builds more cars in one hour, even at the depressed 2008 sales volume, than Koenigsegg builds in a year. Seriously, this deal had massive failure written all over it.

That said, Koenigseggs are awesome machines.
Link Posted: 6/17/2009 7:06:28 AM EST
[Last Edit: 6/17/2009 7:07:53 AM EST by RhinelandArms]
Indeed, this is another one of those, it does not make any sense deals. Koenigsegg is a small company, microscopic by comparison to SAAB, what are they bringing to the table on this deal other than a front company for financing?

However, if SAAB started to mass produce cars designed by Koenigsegg, I would have to consider looking at one. I often though SAAB has to do an about face if they want to be taken seriously in this country and hit good sales and profitability.
Link Posted: 6/17/2009 8:52:37 AM EST
several low volume automakers are looking for high volume car companies on the chopping block.

The reason is large volume makes money. low volume is expensive and may or may not make money.

The best example is the VW, Audi, Porche lines. They all share common components. The high volume VW's bring down the cost of the stuff that can be used in all 3 lines. Like the DSG. Now it may be beefier in an audi or porche, but the basic components are the same and the 2000 porches that would use it, are not enough to get a volume discount with the company that makes the cases or clutches or whatever. But say half of the vw's that come out come with a dsg, now you are talking 3 mil units per year(not positive of the number, but you get the idea).

So this is not as out to left field as you think. Now they can do more R&D and you will see more of their parts in saab cars to make their super cars more profitable(not cheaper.)
Link Posted: 6/17/2009 9:06:12 AM EST
Originally Posted By Andrewh:
several low volume automakers are looking for high volume car companies on the chopping block.

The reason is large volume makes money. low volume is expensive and may or may not make money.

The best example is the VW, Audi, Porche lines. They all share common components. The high volume VW's bring down the cost of the stuff that can be used in all 3 lines. Like the DSG. Now it may be beefier in an audi or porche, but the basic components are the same and the 2000 porches that would use it, are not enough to get a volume discount with the company that makes the cases or clutches or whatever. But say half of the vw's that come out come with a dsg, now you are talking 3 mil units per year(not positive of the number, but you get the idea).

So this is not as out to left field as you think. Now they can do more R&D and you will see more of their parts in saab cars to make their super cars more profitable(not cheaper.)


Porsche last year sold as many cars as did Saab. And Porsche is the most profitable car company in the world by profit margin, at least until the recent global financial crisis. Saab lost money at those sales levels, and despite being part of the second largest car company in the world with all the buying power that brought to them.

This tie-up makes no financial sense absent significant Swedish government money and/or other considerations for the buyer.
Link Posted: 6/17/2009 10:27:54 AM EST
While that may be, it is higher volume than koeing(sp).

And again porche is profitable because they have a high volume associate in vw.
I know that Mercedes and BMW are looking to do the same thing.

Mercedes picked poorly or whatever with Chrysler. Still doesn't change the fact it needs someone with higher volume to help.

This was written up in automobile magazine's recent issue.
Link Posted: 6/17/2009 12:12:41 PM EST
[Last Edit: 6/17/2009 12:18:41 PM EST by RhinelandArms]
I know MB and BMW are combining purchasing power and buying common components with GM. If you look at it the 7 series, S-class and Cad DTS they are all generally the same size, width, wieght etc. They already use several common assemblies as well. I know the DTS is FRD but the steering and suspension parts are now common. In the future MB and BMW could be buying parts used in the full size SUVs for their RWD platforms. Jaguar and Rolls used stock GM transmissions for many years and those were the most reliable parts to those cars, so its not unheard of.

I think SAAB bought a lot of stuff from Suzuki or some other company that to me made no sense. I think it included AWD systems, engines and even rolling chassis? It could be they lost money because corporate GM drained the accounts like MB did to Chrysler?

Its just incredible that the little company secured a govt loan for $600 million so easily. Thats every start ups ultimate wet dream.

I just hope Keonig runs like a bat out of hell with this and produces the lightweight, gull winged, safe, fuel efficent, medium cost sports car I have been dreaming of for years.
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