A New York investment firm taken on by Saab to help it out of its current cash predicament says between EUR250m (US$361m) and EUR350m financing could be announced within two weeks.
The dramatic development comes on the day Saab confirmed it had hired the New York-based Endeavor Advisory Group in a bid to secure short-term financing and restart production.
“All I would say is we feel very comfortable comfortable based on the feedback we have received on our relationships with some of the largest private equity and hedge funds in the world – that have the type of money – that would not be a problem for them,” an Endeavor Advisory Group spokesman told just-auto from New York.
“I believe we could expect to have something in the next week or two, some kind of announcement. It could be EUR250m to EUR350m. They [Saab] could be able to get this money and pay their suppliers right away – they could start manufacturing cars – that could happen in a couple of weeks.”
The Endeavour spokesman cautioned the Group had to be “realistic,” as it had only just been taken on – “it is not that we have been working with Saab for three months,” he said.
Despite his reticence, the spokesman nonetheless added unlike some leviathan financial institutions, private equity and hedge funds could “take a decision very quickly.”
The spokesman also noted Endeavor had staff experience in working with the automotive industry, although he declined to elaborate on which clients these were.
“Our clients have definitely financed automotive in the past – no question,” he added.