Mahindra & Mahindra (M&M), the Indian automaker, has signed a confidentiality agreement with the Swedish Automaker Saab. M&M is one of the four companies showing interest in buying Saab. Reports say that M&M is finalizing its bid with the help of its banker Kotak Mahindra.
Sources said that the M&M team is at Saab’s Trollhattan factory in Sweden to work out the deal. Sources also said the top brass of M&M auto and its M&A team will meet later this week and take a final call on the structure of the bid.
Senior officials of M&M refused to comment.
The biggest hurdle in the revival of Saab is regarding technology, which the former owner General Motors (GM) has refused to part with. Sources said GM has made it clear that it will not give intellectual property rights (IPRs) to any buyer for the 9-4x and 9-5 models, leading to the failure of an earlier bid by Chinese automaker Zhejiang Youngman Lotus Automobile. Since then, Youngman has put in a revised offer of 3 billion crowns ($446 million) for Saab, according to news reports.
No comments:
Post a Comment