Currently reading: Update: Saab's court request denied
Saab's application to Swedish courts for protection from creditors has been denied

Saab’s application for protection from its creditors to give it time to raise vital funding has been rejected by a Swedish court today.

The company had made the application for a self-managed company reorganisation, which would give it more time to wait for investment from China.

Approximately €245 million (£216m) of funds from car distributor Pang Da and car maker Zhejiang Youngman has to be signed off by the Chinese government before it can be made available to Saab owners Swedish Automobile.

If the application had been successful, Saab would have had at least three months’ protection from creditors while it waited for the cash and made internal efficiency savings. But Vanersborg district court rejected Saab’s application because it did not believe it would work.

Now Swedish trade unions could demand that Saab – which has struggled to pay its workers in recent months and owes its suppliers about £131m – be declared bankrupt.

The development does not affect Saab Great Britain. A statement issued by Saab GB yesterday said, “Saab GB is an independent business and a separate UK legal entity to Saab Automobile. It will continue to operate the business in the UK as normal and its dealer network will continue to provide servicing, replacement parts and vehicle warranty facilities for Saab customers."

Saab can appeal the court’s decision.

See all the latest Saab reviews, news and video


Latest business news

99 bmw ix vs mercedes eqs 2022 lead 0 0
From 2024, 22% of a car maker's sales must be BEVs – or it faces a £15,000 fine for every car that does not conform
Editor's letter: EV sales must increase by 50% in 2024 – how?
93 ev charger suppliers under scrutiny podpoint
PodPoint recently switched focus from fast public devices to home and workplace charging
EV charger companies switch tactics in search for elusive profits
Volvo car charging
From 2024, car makers will need to show that 45% of an EV's value originated in the UK or EU to remain tariff-free
EU proposes three-year delay to UK rules of origin tariffs
geneva motor show floor 2018
The Geneva motor show hasn't been held since 2019, due to the pandemic and its after-effects
Geneva motor show 2024: MG confirmed and BYD likely

Join the debate

Add a comment…
Kamelo 14 May 2020


Still miss Saab.