The CDO Magnate Behind New Saab

Robert Farago
by Robert Farago

This morning, bankrupt automaker General Motors, their failed SAAB subsidiary, low-volume independent automaker Koenigsegg, and the Swedish government signed a deal for Saab’s future. Oh yeah, and some guy named Mark Bishop, an “American investor.” Who he? Can you say “junk bonds” and “sub-prime”? But before we look at Bishop’s CV, let’s break this deal down to its constituent parts . . .

Through his company Alpraaz, Christian von Koenigsegg will have a 42.6 percent stake in the newly reformed Saab. American investor Mark Bishop will hold a 22.2 percent share. Norwegian designer, industrial engineer and inventor Bård Eker will have 11.8 percent. The remaining 23.4 percent will be held by Koenigsegg Automotive AB, which again is co-owned by Eker and Koenigsegg, split equally.

OK, so, money man Mark Bishop was once a VP at Drexel Burnham Lambert—or so he says in every web res I found. Even if true, it tells you a lot about Bishop that he’s boasting about his time with the bankrupt Burnham boys, who pleaded no lo contendre moments before a grand jury was going to hand out a RICO indictment.

After that debacle, Bishop co-founded the now-defunct Brentwood Financial Group, “managing the bulk purchase, and subsequent pooling and sales of conforming and non-conforming residential mortgage loans on a national scale.” He then assumed the Presidency of IMPAC Mortgage Acceptance Corporation (more “non-conforming residential loans”). Bishop leveraged that experience to become President of sub-prime lender Novelle Financial Services.

Bishop’s now Managing Director of Liquiddium, a self-professed “leading private equity company that concentrates on “creative real estate transactions in select markets throughout the United States.” “Creative” as in specializing in real estate deals gone bad. “Creative” as in based in Malibu. “Creative” as in “properties are acquired on an all-cash basis as well as with the use of leverage.” At the same time, Bishop’s the MD and CEO of ABS Investment Group, selling residential mortgage-backed securities.

In short, the guy is up to his eyeballs in predatory lending and re-packaging of same. Now that CDOs (collateralized debt obligations) are a no go, Bishop’s moved on. However he insinuated himself into this deal (a story I’d dearly love to hear), Bishop’s goal is clear: strip and flip Saab using Swedish government money.

Bishop’s appearance on the post-C11 Saab scene is not a good sign for the brand. In fact, it could be a potential deal-breaker for the Swedish government, once this info gets out. Look for Bishop to get the old heave-ho. And not a moment too soon. In fact, what the hell were these guys thinking?

Robert Farago
Robert Farago

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  • Bill h. Bill h. on Jun 16, 2009

    "This reeks of sensationalism and rampant speculation." Well, "calling it as we see it" doesn't always preclude that. Good call.

  • CPTG CPTG on Jun 16, 2009

    For me, its personal. In 1992, I got hit walking in the cross walk by a Saab that blew the light. I broke my leg in several pieces and, although healed, I have been 'Saabing' quietly ever since. Saab, as a car company, is a bit of a joke. It's one factory (more like a fancy coach builder) that doesn't even produce its own engines/transmissions!!! What is more of a joke is investment companies running car companies---Cyberus has done a smash-up job running Chrysler (into the ground), why not ABS on a smaller scale?

  • Dartdude The bottom line is that in the new America coming the elites don't want you and me to own cars. They are going to make building cars so expensive that the will only be for the very rich and connected. You will eat bugs and ride the bus and live in a 500sq-ft. apartment and like it. HUD wants to quit giving federal for any development for single family homes and don't be surprised that FHA aren't going to give loans for single family homes in the very near future.
  • FreedMike This is before Cadillac styling went full scale nutty...and not particularly attractive, in my opinion.
  • JTiberius1701 Middle of April here in NE Ohio. And that can still be shaky. Also on my Fiesta ST, I use Michelin Pilot Sport A/S tires for the winter and Bridgestone Potenza for my summer tires. No issues at all.
  • TCowner We've had a 64.5 Mustang in the family for the past 40 years. It is all original, Rangoon Red coupe with 289 (one of the first instead of the 260), Rally Pac, 4-speed, factory air, every option. Always gets smiles and thumbs ups.
  • ToolGuy This might be a good option for my spouse when it becomes available -- thought about reserving one but the $500 deposit is a little too serious. Oh sorry, that was the Volvo EX30, not the Mustang. Is Volvo part of Ford? Is the Mustang an EV? I'm so confused.
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