Automotive News reported today that specialty car builder Saleen Automotive is seeking a buyer. The company has experienced trying times in an industry segment that has seen slow sales due to high gas prices, tough financing and a weak economy.

"The board has set a tentative timetable to receive preliminary indications of interest from prospective parties over the next two months and plans on finalizing a transaction in early 2009," reports Automotive News.



Founded in 1984, Saleen, Inc. creates high performance vehicles for street and track, including the S7 American Supercar, several versions of the Saleen S281 Mustang and Saleen S331 Truck and, in addition, produces and sells a broad line of aftermarket parts. Since its inception, Saleen has produced over 10,000 specialty vehicles, more than any other American specialty vehicle manufacturer. The Company is a Tier-one supplier to Ford, having assembled 4,000 units of the highly acclaimed Ford GT at the Company’s new facility in Troy, MI. Saleen also offers design, engineering and certification services and produces show cars and limited production vehicles.



Saleen Automotive has suffered from internal struggles in recent years. While founder Steve Saleen and other partners are reported to own a substantial interest in the company, controlling interest was sold to investment group Hancock Park Associates in 2004 as part of the cash infusion needed to expand facilities for the Ford GT program. Steve Saleen left the company in May of 2007 and recently created SMS Limited, a custom car tuning company working on Ford Mustang and Dodge Challenger projects. Steve Saleen’s children, Clint, Sean and Molly, left just a few months later. Saleen's wife Liz left the company in 2006.



There was a surprisingly high turnover of Saleen, Inc.’s CEOs who were brought in by Hancock Park Associates. Saleen’s CEO Paul Wilbur left in August of 2008, followed shortly by its General Manager Marques McCammon -- both from ASC (American Specialty Cars) -- and both ended up in a green car company in San Diego County. September saw additional departures of upper management as well as throughout the ranks as vehicle production stalled.

Paint and partial assembly of the Dodge Viper are done at Saleen Automotive, but the uncertain future of that program complicates matters as Chrysler LLC considers selling the Viper brand and/or the company as a whole.

Personally, I would like to see Steve Saleen gather up the investors he has for SMS Limited and buy back Saleen Inc. At a minimum, if Saleen Inc. folds, it could be a great opportunity for Steve to buy back the brand name, trademarks and other intellectual properties.