Saab may have to merge with Volvo

Saab may have to merge with Volvo

Saab logo

In a desperate bid for survival Saab may look at a possible merger with Volvo, it isn’t the first time a partnership has been discussed. Back in the 1970s the two Swedish automakers were a hair away from merging 240s and 900s, but instead followed separate paths. Now, with both brands facing difficult sales numbers and uncertain futures, GM’s Bob Lutz thinks a merger sounds good once again. Lutz thinks it’d be a way for Ford and General Motors to both rid themselves of problematic business units. The soon-to-be former Car King from GM offers no insight about how the merged companies might actually start making a profit both automakers have serious financial issues. While Volvo has secured a promise of $546 million from the European Investment Bank, Saab is walking a much tougher path to survival.

Ultimately, a merger between Saab and Volvo would be great for their parent companies, but no one knows yet how exactly it would benefit the Swedish brands as they hold on for dear life.

Saab logo

In a desperate bid for survival Saab may look at a possible merger with Volvo, it isn’t the first time a partnership has been discussed. Back in the 1970s the two Swedish automakers were a hair away from merging 240s and 900s, but instead followed separate paths. Now, with both brands facing difficult sales numbers and uncertain futures, GM’s Bob Lutz thinks a merger sounds good once again. Lutz thinks it’d be a way for Ford and General Motors to both rid themselves of problematic business units. The soon-to-be former Car King from GM offers no insight about how the merged companies might actually start making a profit both automakers have serious financial issues. While Volvo has secured a promise of $546 million from the European Investment Bank, Saab is walking a much tougher path to survival.

Ultimately, a merger between Saab and Volvo would be great for their parent companies, but no one knows yet how exactly it would benefit the Swedish brands as they hold on for dear life.

« | »

Let us know what you think

Loading Facebook Comments ...

Road Tests

Silver Sponsors

Car and SUV Team

Richard-Edwards-2016Richard Edwards

Managing editor

linkedinphotoDarren Cottingham

Motoring writer

robertbarry-headRobert Barry

Chief reporter

Ian-Ferguson-6Ian Ferguson

Advertising Consultant

debDeborah Baxter

Operations Manager

RSS Latest News from Autotalk

RSS Latest News from Dieseltalk

Read previous post:
Car repossessions on the rise

I heard a story a couple of weeks ago that there are expensive lease cars being left at the airport...

Close