Saab files for bankruptcy

Car-maker Saab has filed for bankruptcy, according to a Swedish court.

Victor Muller, chief executive of Dutch group Swedish Automobile, handed in the application in person today, the Vanersborg District Court court said.

In a statement, Swedish Automobile said it decided to file for bankruptcy after previous owner General Motors rejected all proposals presented to salvage the troubled brand on Saturday.

It said GM’s position meant China’s Zhejiang Youngman Lotus Automobile had pulled out of talks to continue to finance the company’s reorganisation.

The court is expected to approve the filing and appoint receivers for Saab Automobile very shortly, Swedish Automobile said.