Saab’s largest union says it will not take immediate action tomorrow (2 September) as rumours start to gather pace in Sweden the stricken automaker may be on the verge of securing a massive bridging loan.

This Friday has been touted all week as D-day for Saab as it desperately seeks funds to pay employees and stave off potential bankruptcy proceedings from unions and suppliers alike.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

Labour bodies have formally written to Saab detailing wage arrears for August, with the deadline for a settling of owed accounts appearing to be late tomorrow afternoon.

However, IF Metall, representing around 1,500 Saab members, at least seems to be exercising a degree of caution as speculation of a potential white knight in the shape of a bridging loan continues to gain momentum in Sweden.

“We have heard there is SEK1bn (US$156m), that the loan should be in reach in just a couple of days,” IF Metall lawyer Dario Davidovic told just-auto. “I hope that [they] have found the money and everything will be in order [to] deposit to the account, but we have heard it before.”

At the very least, IF Metall’s decision could allow Saab some breathing space this weekend, although to what extent the manufacturer’s other unions will follow suit remains as yet unclear.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Last night, Saab issued its starkest warning yet its future was under threat noting in half-year results that: “If adequate funding for the group cannot be secured [in] timely [fashion], going concern can likely not be maintained.”

The automaker reported a massive half-year operating loss of EUR210m compared to a previous EUR22m and despite the possibility of long-term financing through the auspices of Chinese distributor Pang Da and manufacturer Youngman, it now desperately requires an immediate cash injection to restart production which has been idle for several months.

US investment firm Endeavor Advisory Group, which has been hired by Saab, yesterday revived talk of a potential bridging loan to drag the automaker back from the brink.

“As far as Endeavor is concerned, a positive conversation is going on, in terms of Saab, in terms of the bridging loan,” an Endeavor spokesman in New York told just-auto.

Saab was not immediately available for comment.