Spyker seeks BMW expertise

• Source: Shanghai Daily
• [08:35 September 28 2010]
• Comments

Spyker Cars NV, the Dutch owner of the Saab brand, said Monday it is in talks with BMW AG about the German company potentially supplying it with parts and technology.

In a statement, Spyker says it "confirms that talks are ongoing" with BMW and it would release details once a deal has been reached. BMW declined to comment yesterday.

Dutch state broadcaster NOS news reported earlier yesterday that the two are in talks on a "major deal" and BMW may supply engines for some Saab models.

Spyker has been looking for an engine supplier for the upcoming 9-4X sport utility vehicle and a more general technology partner for an as-yet unnamed mini line.

The loss-making company sold just 10,000 cars in the first half of 2010, a tiny percentage of the roughly 7.5 million sold in Europe in the same period, and Spyker lacks the resources to develop new lines without help from larger partners.

Meanwhile, BMW has said it is looking to sell and license its technology to other companies as part of its business model. It already supplies French car maker Peugeot with motors for some smaller car lines.

Tiny Spyker bought Saab out of liquidation earlier this year from General Motors Co for $74 million in cash. GM also received $326 million in interest-bearing preferred shares in Saab.

Spyker lost 139 million euros ($187 million) in the first half of this year and it had negative net worth of 126 million euros as of June 30. It says it has access to 546 million euros in funding.