LOSS-MAKING Swedish carmaker Saab is to use BMW engines in a move by Dutch owner Spyker to help boost its recovery and appeal.
Undercapitalised Spyker Cars, which bought Saab in February from General Motors for $400m (£294m), said yesterday the luxury German group will supply four-cylinder 1.6 litre turbocharged gasoline engines for its new 9-3 model, from 2012.
“BMW’s engines and their fuel savings innovations are widely regarded as a benchmark in the premium segment,” Saab chief executive Jan Ake Jonsson said.
The two firms are open to exploring further opportunities, but both say it too soon to say what that could mean in the future.
The deal will help Spyker, which wants to sell 120,000 cars per year in the long term, obtain new technology despite its negative shareholders equity value of €126m (£171m).