AM Online

Saab secures funds for future as second Chinese investor steps in

Saab has secured more funds for the future as Chinese company Zhejian Youngman Lotus Automobile has entered into a non-binding agreement to pay £214 million for a 29.9% stake in the company.

Chinese business Pang Da Automobile also has a 24% stake in Spyker-owned Saab which was forced to close production in Sweden on April 6 after a “short term liquidity crunch” left vehicle parts suppliers left unpaid.

The deal with Zhejian Youngman Lotus Automobile is still subject to approval. Collectively it will mean the two Chinese companies will own over half of the Saab business.

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