Genii Capital has withdrawn from from bidding for General Motors' Saab unit saying last night "that the timing of the bidding process for Saab is incompatible with implementing a solid business platform for the future."

The Luxembourg-based private investment firm said it was able to move "quickly and aggressively, but building solid partnerships for the long term demands both time and intensive work.

"Unfortunately, Genii Capital believes that the timing of the next stage of the shutdown process at Saab is not compatible with its requirements for putting in place a solid business platform for the future and closing the transaction."

"Saab is an exclusive brand with strong potential, based on the capabilities of a highly skilled workforce. This attracted Genii Capital to the opportunity to acquire a majority stake in Saab, based on implementing comprehensive, innovative industrial and financial foundations for the future in order to best meet the challenges the company will face in the future."

Genii noted it had been brought into the year-long bidding process for Saab just three days before the closing deadline and that the automaler had started a partial shutdown process due to the length of the negotiations.

General Motors confirmed on Monday afternoon it was continuing to discuss the sale of its Saab unit with Dutch luxury sportscar maker Spyker but declined to elaborate. The announcement by GM chairman and CEO Ed Whiteacre came soon after the remaining bidder said negotiations "must end soon".

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