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GM finds buyer for Saab - Metro US

GM finds buyer for Saab

Saab Automobile, General Motors Corp.’s struggling Swedish unit known for its family cars, was rescued yesterday by a consortium led by Koenigsegg Automotive AB, a tiny company that produces a dozen custom-made super cars a year.

Having penned a memorandum of understanding, GM said the sale would include an expected $600-million US funding commitment from the European Investment Bank, guaranteed by the Swedish government. Extra funding for Saab’s operations and investments would be provided by GM and the consortium, it said.

A source said GM will get nothing initially for Saab, but would be paid $150 million on top of the value of Saab’s assets if the new company turns a profit.

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