GM close to deal for Saab

STOCKHOLM, Sweden, June 12 (UPI) -- Swedish niche automaker Koenigsegg is negotiating with General Motors Corp. to purchase ailing brand Saab, a source close to the talks said.

In Sweden, many think the deal, which includes Norwegian investors, is already signed, sealed and delivered. However, "it's not the done deal that some people in Sweden seem to think it is," the source told The New York Times Friday.

The Times said the deal was close, but not finished.

To this date, Koenigsegg has focused on limited output of high-performance sports cars and making attempts to break speed records. Purchasing Saab would be a sudden shifting of gears for the company.

The deal includes a notably stand-off posture by the Swedish government, which has been reluctant to bail out a company that is losing money.

Before stepping forward with assistance, the government "prefers to wait for an actual sale," the Times said.