General Motors SA has been granted the distribution rights for Saab vehicles in South Africa after Saab's managing company in South Africa, Absolut Motor Holdings, after the company ran into financial difficulties.

General Motors SA has been granted the distribution rights for Saab vehicles in South Africa after Saab's managing company in South Africa, Absolut Motor Holdings, after the company ran into financial difficulties.

In October last year, the Saab dealerships in Pretoria, Johannesburg and Cape Town were closed, and the then-Delta Motor Corporation entered into negotiations with Saab AG to rescue the marqué in South Africa.

After General Motors purchased the remaining 51 per cent of Delta in January this year, it continued the negotiations with the stricken Swedish marqué's representation. Saab AG is 100 per cent owned by the General Motors Corporation and the agreement sees GMSA assuming responsibility for the distribution and servicing of Saab vehicles in South Africa.

President and managing director of General Motors South Africa, Robert Socia, said: "We are confident of the future of the Saab brand in the country. Customers can be assured that all commitments in terms of warranty and maintenance contracts will be honoured, " Socia underlined.

"Through leveraging the resources of our new partner, we look forward to enhancing Saab's presence in the South African market," Paul Snoeys, senior business development manager at Saab said.

"Our focus right now will be on satisfying the needs of existing Saab customers," Socia said. "Following this we will investigate opportunities to further grow the brand in South Africa."

While details of the Cape Town representative's future are still sketchy, these will be made available by GMSA as soon as possible. The Johannesburg-based Sandton Saab will continue to provide sales and servicing support and customers requiring further information are requested to contact 011 806 4681.