GM to sell ‘Saab’ to Koenigsegg

General Motors Europe said on Tuesday a preliminary agreement had been reached to sell the company’s loss-making Swedish unit Saab to luxury carmaker Koenigsegg.

“The sale,expected to close by the end of the third quarter of this year,includes an expected $600 million funding commitment from the European Investment Bank (EIB) guaranteed by the Swedish government,” GM Europe said in a statement on its website.

Sale terms were not disclosed in the statement.

Saab Automobile,which was put up for sale by its now bankrupt US parent earlier this year,had been in talks with two or three bidders in the past weeks and was widely expected to reach a deal with Koenigsegg.