BELGIUM: CLEPA urges against bankruptcy move for Saab
Europe's association for automotive suppliers (CLEPA) is cautioning that should Saab enter bankruptcy, its members would lose "everything."
The embattled automaker is waiting for a decision by the Vanersborg District Court concerning an application by Saab administrator Guy Lofalk to end bankruptcy protection, but CLEPA is firmly convinced this is not the answer for its members.
"If there is bankruptcy, we lose everything," CLEPA CEO Lars Holmqvist told just-auto. "If there is a reconstruction, we get 40% and perhaps the rest later. Normally everyone [suppliers] counts on 25% [for cash on delivery] and we are not happy with that.
"The general feeling is it has to be more than that - it is not a negotiated figure but it is something that has been talked about. We are advising our members to keep a close eye - whatever you do, don't try [and] get money by legal action."
Holmqvist estimated a decision by the District Court should happen by 28 October at the latest, adding if any investor were to come forward, they would not necessarily have to be closely involved with the company.
"I don't actually believe nobody who is not deeply involved or [who has] a deep interest in Saab would ever invest in it," he said.
"It has got to be people have a secondary motive - people who have money to defend."
Saab's fast-moving developments come as it turned down an offer from potential Chinese investors Pang Da and Youngman to purchase 100% of its shares - a proposition that appeared to be attached with so many conditions the manufacturer branded it as "unacceptable."
The Swedish manufacturer added it had terminated "with immediate effect" its subscription deal of 11 days ago with the Pang Da and Youngman.
Neither Saab nor the Vanersborg District Court Saab were immediately available for comment.