Swedish Auto unit files for administration

Swedish Automobile, the Amsterdam-listed company which owns Sweden's cash-strapped car maker Saab, said on Tuesday its British unit had filed for administration as it awaits funding from Chinese investors.

Car-maker Saab has legal protection from creditors in Sweden, where a court-appointed administrator is overseeing a reconstruction of the company.

Swedish Automobile has struggled to sell assets and raise funds this year.

Now a rescue by two Chinese firms, Pang Da Automobile Trade Co and Zhejiang Youngman Lotus Automobile, is at risk after General Motors Co said it would stop supplying components and technology if the bid succeeded.

"Saab Great Britain Ltd filed for administration with the High Court in London," Swedish Automobile said in a statement.

"The board of Saab GB is of the opinion that administration gives the company and creditors the necessary legal protection until the required funding for the company has been secured."