Saab’s court-appointed administrator will ask to have the automaker’s voluntary reorganization terminated immediately, a move that could force the liquidation of the long-troubled Swedish brand.
The move comes just hours after a private equity firm in the U.S. agreed to purchase $10 million in stock from Saab parent, Swedish Automobile and make available an additional $60 million loan. Last week, Chinese investors came up with an estimated $15 million to help keep Saab going with an additional $81 million in bridge loans to follow before month’s end.
But with bills mounting daily, even as its core assembly plant in Trollhattan, Sweden remains shuttered, administrator Guy Lofalk appears to have concluded that there is no way to turn things around and that a bankruptcy would be the best opportunity to maximize what can be recovered from Saab’s assets.
“Saab Automobile shall contest this application and request for continuation of the voluntary reorganization process,” the maker announced in a terse statement, adding that, “Simultaneously, Saab Automobile shall apply at the court for replacement of Mr. Lofalk as administrator.”