Saab Phoenix May Rise from Ashes Via Spyker, Youngman Deal

Spyker Cars NV, owner of bankrupt Saab Automobile AB, has reached a tentative equity deal with Zhejiang Youngman Lotus Automobile Co. The partners plan to create a pair of joint ventures to build Spyker-designed performance SUVs and premium cars based on a Saab platform.

The companies describe the latter as an alternative to their previous unsuccessful attempts to restructure Saab, which were thwarted for a year by the Swedish brand's former owner General Motors Co.

GM said it objected to technology it had developed for Saab falling into a competitor's hands. Spyker is suing GM for at least $2 billion for allegedly driving Saab into bankruptcy.

The new partners plan to develop and manufacture a line of cars based on Saab's Phoenix platform, which Spyker and the Swedish brand developed independently of GM. The chassis debuted in the PhoeniX concept car shown at the 2011 Geneva auto show. Youngman bought rights to the platform from Spyker last year for €80 million ($100 million).

If the new deal moves forward, Youngman will pay €7 million ($9 million) to acquire 29.9% of Spyker and provide the Dutch supercar maker with a €3 million ($4 million) shareholder loan. The Chinese company has pledged not to increase its initial stake.

Spyker says Youngman will provide €2 million ($3 million) within seven days and pay the remaining €8 million ($10 million) within 45 days of reaching a definitive agreement.

Youngman also would get 80% of the Spyker Phoenix BV car joint venture in exchange for contributing its rights to the Phoenix platform and additional funding for the program. Spyker, which would own the remaining 20% stake, says the cars will be made in China, Europe or both.

Youngman would invest €25 million ($31 million) over several years for 75% of the second joint venture, Spyker P2P BV. The venture's goal is to launch a new SUV based on the $250,000 Spyker D8 Peking-to-Paris concept by the end of 2014.

The Dutch company would own 25% of Spyker P2P in exchange for its trademarks and technology. The partners say additional variants of the SUV might follow.