WSJ Reports BAIC Inks Deal for Some Saab Assets

STOCKHOLM, Dec 13, 2009; Reuters reported that Saab can still find a buyer for the whole firm, a spokesman for the loss-making auto maker said on Sunday after The Wall Street Journal reported China's BAIC had agreed with General Motors to buy some of the Swedish company's assets.

Saab, one of Sweden's best known brands, has been hoping an 11th-hour saviour would turn up after parent GM said in late November it would wind down the firm if a buyer did not appear before the end of this month.

Saab spokesman Eric Geers said he was confident that a buyer for Saab Automobile would be found.

"We can't comment on anything about the sales process," he told Reuters.

The Wall Street Journal reported on Sunday that Beijing Automotive Industry Holding Co. has reached a tentative deal to acquire certain Saab assets.

Citing a source with direct knowledge of the deal, WSJ said on its website that the deal included production equipment and intellectual property for Saab's 9-3 and 9-5 models.

BAIC, which has made clear it has no interest in acquiring Saab's production hub in Trollhattan, Sweden, could not immediately be reached for comment.

The global car industry, already suffering from massive overcapacity, has been among the hardest hit sectors during the recent economic downturn.

Saab needs massive investment to update its models and reverse sliding sales over recent years.

GM, which only recently emerged from bankruptcy itself, said in late November it would consider offers for Saab until the end of this month after Swedish luxury sportscar maker Koenigsegg backed out of an agreement to buy Saab.

In addition to BAIC, which backed Koenigsegg's bid, Dutch sports car maker Spyker Cars NV said earlier this month it was interested in Saab.

Additional reporting for Reuters by Ken Wills in Beijing; editing by Simon Jessop