Fresh interest emerges for GMÔÇÖs Saab

Saab, the Swedish car maker owned by Detroit, Michigan-based General Motors (GM), is in talks with at least two interested parties following the collapse of the sale to SwedenÔÇÖs Koenigsegg last week.  The two parties are understood to be Beijing Automotive Industry Holdings (BAIC), which was to take a minority stake in Saab as part of the Koenigsegg acquisition; and Merbanco, a Wyoming-based merchant bank which has long been linked with the Saab brand.  BAIC has not yet confirmed whether it would bid alone or as part of a group. It is believed to be interested due to its continuing strategy to diversify on the international stage.  US financier Ira Rennert and his investment firm Renco Group have also been named as being possibly interested.  Both Merbanco and Renco Group would be open to working with BAIC on a possible acquisition, according to a report in the Wall Street Journal.  In the past, Merbanco has acquired companies in industries ranging from financial services to agricultural equipment  Fredrik Reinfeldt, the Swedish Prime Minister, has ruled out bailing out Trollhaettan-based Saab with a $717 million rescue loan if GM fails to find a buyer; however, the government is willing to act as the company's guarantor on Ôé¼400 million loans from the European Investment Bank (EIB) were a buyer to be found.  The interest from both Merbanco and Renco is predicated on the EIB loans and Swedish backing.  GM is meeting next Monday in Detroit to discuss SaabÔÇÖs future. It is unclear at this stage whether the company is open to continuing talks on a sale or planning to scrap the brand altogether.  Saab would need a significant amount of capital and a thorough restructuring to enable it to compete with other European brands.  The Swedish division ran into trouble earlier this year following the global slowdown in the auto industry. It filed for protection from its creditors in February, exiting in the summer after reaching an agreement with creditors to write off about 75 percent of its debt.  SaabÔÇÖs US sales fell by 62 percent this year through October, with just 513 deliveries last month. Meanwhile, the European total dropped by 59 percent.┬á *┬á┬á┬á┬á┬á┬á┬á *┬á┬á┬á┬á┬á┬á┬á *