Ecclestone withdraws Saab bid

* Winding down to blame * Financial backers pull out * Spyker's shares surge, though...

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What Car? Staff
26 January 2010

Ecclestone withdraws Saab bid

The Bernie Ecclestone-led bid to buy Saab has been withdrawn.

The decision to withdraw was announced by the group's financial backers, Genii Capital, and leaves Dutch supercar manufacturer Spyker as the only company with a bid on the table for the Swedish brand.

Winding down
Genii blamed the current winding down of Saab as a reason for its withdrawal. 'Saab is an exclusive brand with strong potential. Unfortunately, Genii Capital believes that the timing of the next stage of the shutdown process at Saab is not compatible with its requirements for putting in place a solid business platform for the future and closing the transaction,' said a statement.

'Genii Capital wishes Saab and its workforce a bright future and will continue to monitor with interest the company's situation.'

Spyker continues negotiations
Reacting to rumours that its bid to buy Saab from GM will be successful, a spokesperson for Spyker said: 'We confirm that talks are ongoing, the outcome of which is still uncertain. Saab is currently in liquidation, so these talks must end soon.'

The value of Spyker's shares has soared by 77% amid speculation surrounding the imminent conclusion of the deal with GM.

GM has made no comment on the current state of negotiations, apart from confirming the wind-down of operations at Saab is continuing.