Spyker cuts its losses as it eyes London listing

Posted: March 27, 2010 in telegraph-co-uk

Losses at Dutch car maker Spyker narrowed last year despite a “perfect storm” in the automotive industry.

By Graham Ruddick, City Reporter (Automotive)
Published: 9:15PM GMT 26 Mar 2010

Spyker C8 Aileron Spyder - Spyker cuts its losses as it eyes London listing

Spyker C8 Aileron Spyder – Spyker cuts its losses as it eyes London listing Photo: GETTY

The company, which has bought far larger Swedish rival Saab for around $74m (£50m), is eyeing a stock market listing in London and has moved production to Coventry.

Spyker produces luxury sports cars by hand and sold just 36 cars last year, compared to 37 in 2008. This translated to sales of €6.6m (£5.9m), down 15pc, and net losses of €22.9m, compared to €23.8m.

Victor Muller, chief executive, said: “In March last year, I could not imagine what the world would look like today. In 2009 the global automotive industry continued to suffer severely from the economic downturn and liquidations, governmental bail-outs and scrap car measures were common practice in many countries.”

The unprecedented conditions allowed Spyker to make an acquisition which “under normal market circumstances would have been unthinkable”, Mr Muller added.

Spyker, which employs 85 people, has faced serious questions about whether it can turn Saab into a viable business. The Swedish company was consistently loss-making after General Motors secured 100pc control in 2000 and dwarfs Spyker in size, producing around 100,000 cars a year.

Mr Muller is aiming to make Saab profitable by 2012, insisting that it did not lose money in all its years under GM because “many of its profitable divisions were not consolidated in Saab, but directly in GM”.

He added: “When one would reconstruct and clean up Saab’s historic figures, a completely different picture appears.

“Saab’s business plan, reviewed by many experts in the industry, clearly demonstrates that at very realistic production levels – not higher than those achieved as recent as 2007 [120,000 units] – Saab can be profitable.”

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