IMPORTANT NEWS: National Electric Vehicle Sweden has agreed to buy the assets of Saab Automobile and the sale is expected to be finalized during the summer.

Friday, March 25, 2011

Saab may need more capital

In a teleconference today, Victor Muller admitted that Saab may need more capital this year. But a share emission is not very likely, instead Saab could share it's Phoenix technology with interested parties. All this according to an article in Swedish news site Below is a full translation.

Muller: We may need more capital
Saab Automobile may need more capital in 2011. But not by issuing new shares, but rather through the sharing of technology from the Phoenix platform. That's according to the company's acting CEO Victor Muller in a teleconference on Friday.

Sales in 2010 did not reach the target, but by cutting cost the loss of SEK 1.3 billion for Saab's owner Spyker Cars was still in line with the business plan. Muller said this in a teleconference on Friday, after CEO Jan Åke Jonsson had announced his resignation.

But he also said that Saab Automobile may need more capital during the year.

"It is a capital intensive industry and we may need more capital, but there are more ways than issuing shares. There are great assets in Saab, for example in the Phoenix platform if we were to share it with others."

He also said that he has big expansion plans and that he is eager to get to work on a new smaller model, the Saab 9-2.

Vladimir Antonov, who bought the Spyker sports car manufacturing, has previously said that Saab needs more money.

"Vladimir Antonov is not a shareholder and he has expressed his personal opinion, which he obviously is allowed to do. He is my financier and it would be good if he could be Saab's financier," said Muller.

On the retirement of Jan Åke Jonsson, Muller told that the search for his successor had started in January, but that it may take some time to find someone who can do the job. He hopes that his career as acting CEO will be short-lived and would like to have a successor ready in time for the shareholder meeting in May.