Friday, December 18, 2009

Consequences of the deal gone bad: GM to wind down Saab; Nielsen to wind down E&P

I couldn't help but think of Editor & Publisher this morning when I heard the news about Saab: GM was to begin shutting down operations at the Swedish carmaker according to the reports, and it all sounded very much like what is going on today at Nielsen.

In both cases, there was hope that a deal with a new owner was in the works. In the case of GM, a deal with Spyker Cars could not be completed; in the case of Nielsen, the final deal with e5 Global Media Holdings LLC did not include either E&P nor Kirkus Reviews.

I'm sure that both owners had already envisioned life without their properties, so that when the deals could not be completed they went to Plan B -- a shutdown. I'm also quite sure that both GM and Nielsen are still open to some sort of last minute deal that would either sell off the brands completely, or at least sell off the assets and brand.

The next week or two will reveal whether either brand will survive intact.