Pang Da to distribute Saab models, parts
A Beijing-based auto dealer owned by Pang Da Automobile Trade Co., China's largest auto dealer group, has become the exclusive distributor of Saab's vehicles and parts in mainland China.
Pang Da's subsidiary, Zhongji Leye Auto Sales Co. gained distribution rights in an agreement signed last week with Swedish Automobile N.V. and Saab Automobile Parts AB.
The deal is part of a broader pact inked between Pang Da and Saab.
Under the pact signed in June, Pang Da will buy two batches of Saab vehicles worth 415 million yuan ($65 million) and will distribute Saab's vehicles in China.
Meanwhile, Chinese automaker Zhejiang Youngman will join Pang Da to buy 53.9 percent stake in Saab for 2.2 billion yuan.
Saab and Youngman have said they will submit a request to the Chinese government this month to invest in Saab.
Saab vehicles are currently imported and distributed in China by Shanghai General Motors Co., a joint venture between General Motors and SAIC Motor Corp.
Located in suburban Beijing, Zhongji Leye, a wholly owned subsidiary of Pang Da, is a franchised dealer of Chevrolet vehicles in Beijing.
