Currently reading: Saab secures £25m property deal

Saab's cash crisis eases further after selling 50.1 per cent of its property

Saab has secured a 28 million euro (£25m) property deal to help further ease its cash woes.

The deal between Saab parent firm Swedish Automobile and a consortium of Swedish real estate investors led by Hemfosa Fastigheter means Saab will relinquish 50.1 per cent of Saab Automobile Property AB.

Saab 'able to pay its staff'

Saab will then lease back the property it has sold over a period of 15 years. Fastigheter's consortium has the option of buying an additional 5m euro (£4.5m) in shares in the next 30 days on the same terms.

The deal will allow Saab to make further payments to its staff and suppliers, although it is not enough to allow production to restart at its Trollhattan assemble plant.

Swedish Automobile said discussions with other parties over securing additional short-term funding were ongoing. However, no assurances have been given as to whether or not these discussions will be successful.

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