Saab GB goes in to administration as China deal flounders

Saab GB on administration

Saab Great Britain Ltd (Saab GB) has filed for administration in the High Court as Swedish Automobile N.V. (Swan) fails to conclude a deal with China.

It’s a wonder it’s taken so long. But finally, after having almost no new product to sell for most of 2011 – and car buyers running scared of Saab – Saab GB has filed for administration.

With Saab itself (Swedish Automobile) looking to be as far away as it ever was from sewing up a deal with Chinese Youngman and Pang Da, there really was nowhere left for Saab GB to go.

Saab GB has exclusive right to distribute Saab cars and parts in the UK, and has been trading for more than fifty years. It distributes to 58 dealerships – 20 of which are Saab-only outlets – including wholly owned Saab City which operates in Wapping and Fulham.

A statement from Saab UK said:

The board of Saab GB is of the opinion that administration gives the company and creditors the necessary legal protection until it has secured the required funding for the company. The appointment of the administrator is effected by the directors of Saab GB.

Perhaps the timing of Saab GB’s administration also has something to do with the troubles afflicting Victor Muller’s friend and banker, Vladimir Antonov?

Antonov is known to be a big investor in Muller’s businesses, and it may be that any lifeline Muller was receiving from Antonov to stay afloat through endless financial woes at Saab has now dried up, leaving Swan – and Saab GB – few options.

Antonov’s Convers Sports, which owns Portsmouth FC, has also gone in to administration leaving Pompey between a rock and a hard place. Antonov’s property and cars have been seized in Lithuania over the Snoras Bank issues and Antonov is on bail in London after an arrest warrant lead to his appearance in the High Court last week.

Next in the firing line from the fallout over the alleged fraud and asset stripping at Snoras could be CPP. All of CPP’s companies are jointly owned by Antonov.

That said, the fact that CPP MD Brendan O’Toole owns 50 per cent of CPP means any action to recover Antonov’s assets, if the allegations are proved against him, will probably mean CPP having to replace Antonov as an investor rather than being forced in to administration.

But it’s all a bit of a mess.

By Cars UK