Saab is declining to comment if today’s (15 August) news that the further four million shares it has issued through through GEM Global Yield Fund will be used to pay August salaries.
Swedish engineering union Sveriges Ingengorer recently expressed concern whether or not its members would receive August salaries following a last-minute settlement of July’s outstanding wages – also brokered through a subscription notice with GEM – but the automaker is not revealing if the new deal is on a similar basis.
“We can’t speculate on how we are using our money and what comes in and what goes out,” a Saab spokeswoman in Sweden told just-auto. “We are very aware of the commitments we have in front of us and this will help us in the short term to meet our obligations.”
All four of Saab’s major unions – Sveriges Ingengorer, Unionen, IF Metall and Ledarna – met CEO Victor Muller last week although no details have yet emerged concerning August payments.
“The union representatives made a few comments, but it was a good, positive meeting and they have full faith that Victor Muller is doing everything in his power to correct the situation,” added the Saab spokeswoman.
Saab declined to put a figure on what the equity facility could yield, but noted it was “letting the people who follow the market…make their own estimates.”
A statement earlier from Saab noted it had issued a subscription notice for four million shares through the current EUR150m (US$215m) equity facility between Swan – Swedish Automobile – and GEM Global Yield Fund Limited.
“The exact number of shares to be issued and the price thereof will depend on the pricing period which commences today,” it added.
“Swan and Saab Automobile continue their discussions with parties to obtain further short-term funding to be able to restart and sustain production.”