Saab Gets $599 Million Loan from EIB

For General Motors, the sale of it's two European units, Saab and Opel, has been long and arduous. Magna International's purchase of Opel still hasn't been completed, but Koenigsegg's bid for Saab has going comparatively smooth so far.

Koenigsegg's bid to purchase the brand just got a big boost with the announcement of a $599 loan for the company from the European Investment Bank.

There were some reports that Koenigsegg's bid was meeting difficulties, but this loan should ensure the deal is completed. However there are still a number of approvals that have to be obtained from the Swedish government and European Union authorities. So, don't get too excited yet.

Another interesting development that has occurred through this is China's Beijing Auto investment into Koenigsegg as a means of access to Saab.

Some have speculated that this is to gain access to the brand's intellectual property, to secure the potential to build Saabs in China and also the possibility that the outgoing 9-5 could continue on in the Chinese market.

Throughout the buying process, Chinese ownership was something GM specifically tried to avoid. I find it interesting the particular efforts of the Chinese automakers to purchase brands with a reputation for safety - Saab and Volvo alike.

It seems as if it is a pre-emptive move against negative public perception of the safety of Chinese vehicles (ever seen the crash test videos?). Will the attempts to secure these brands succeed? Only time will tell.