GM Purchase Agreement with Saab Automobile

General Motors (GM) confirmed Tuesday that it has signed a stock purchase agreement with Swedish sports carmaker Koenigsegg regarding the sale of Saab Automobile.

Photo: GM Purchase Agreement with Saab Automobile

GM expected the deal to be concluded in the next few months, the U.S. automotive giant said in a statement.

"We will continue to work with all parties to define the final details and ensure a fast closure of the deal," Carl-Peter Forster, president of GM Europe, said in the statement , Xinhua reports.

Meanwhile, Joran Hagglund, a state secretary at Sweden's Enterprise Ministry and the government's main liaison to the auto industry, said the agreement was a positive step to clearing up the question of Saab's ownership but cautioned that "several steps" remain before Saab can get a necessary loan from the European Investment Bank.

"The most decisive factor" is whether Koenigsegg can raise additional capital required, Hagglund said, declining to say how much was needed , CNNMoney.com reports.

However, 1990 - The Saab car division is restructured into an independent company, Saab Automobile AB, with headquarters in Sweden. Investor AB and General Motors own 50 percent each.

2000 - GM buys the remaining 50 percent stake in Saab , Reuters reports.