Saab/Hawtai investment deal 'terminated'

A 120 million investment deal to shore up struggling car maker Saab has fallen through.

Spyker, which owns Saab, confirmed the deal with Chinese car manufacturer Hawtai was terminated after the investor was 'not able to obtain all the necessary consents.'

A statement from Spyker says: 'The parties will continue discussions about a possible deal, however it will now be on a non-exclusive basis.'

Saab is also trying to obtain funding from the European Investment Bank to secure short- and medium-term funding.

Without funding in place, the production lines at Saab's Trollhattan factory remain idle.

The company also needs money to finish work on its all-new 9-3 due next year.