Press Release: Swedish Automobile Terminates Subscription Agreement With Pang Da And Youngman

Trollhättan, Sweden: Today, Swedish Automobile N.V. (Swan) announced that it has given notice of termination with immediate effect of the Subscription Agreement of July, 2011 entered into by Swan, Pang Da and Youngman.

Swan took this step in view of the fact that Pang Da and Youngman failed to confirm their commitment to the Subscription Agreement and the transactions on the agreed terms contemplated thereby as well as to explicit and binding agreements made on October 13, 2011 related to providing bridge funding to Saab Automobile AB (Saab Automobile) while in reorganization under Swedish law.

Pang Da and Youngman have presented Swan on October 19 and 22 with certain conditional offers for an alternative transaction for the purchase of 100 percent of the shares in Saab Automobile which are unacceptable to Swan. However, discussions between the parties are ongoing.

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6 Comments

  1. Strange feelings here… but I totally support SWAN’s decision. It looks it has been a false commitment for some time from Youngman and Pang Da.

  2. Somehow this news doesn’t feel good. At all…
    It just shows that no matter how bad things are, they can always get worse.
    Let’s hope that this is not the end.

  3. This is the Chinese way. They are very adept at the Waiting Game. A bargain is here to be had and they know their position will only improve from here.

    Many say they will not drive a ‘Chinese SAAB’….but the Volvo parallel may be the best indicator for some rational thought in all of this.

    Wish VM much clarity of thought in the coming days.

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