BREAKING: Saleen, Inc. sells off most of its assets
by Drew Phillips on Feb 2nd 2009 at 9:33PM 
Rumors have been swirling this past week about the potential sale of Saleen, Inc., just a few months after the company announced it would explore the sale of its operations. LA-based Hancock Park Associates, which purchased a majority of the business from Steve Saleen just a few years ago, had been recently running the company with just a few dozen employees to keep the business going until it could find a buyer. The sale is now finally official, with MJ Acquisitions purchasing a majority of the assets of the company including both the production car and aftermarket divisions. Other assets, including the S7, S5 Raptor and the paint operations remain with Saleen, Inc. Currently, all Saleen employees are officially out of a job, including CEO Chris Theodore, but MJ Acquisitions plans on hiring many of the workers including several that were previously laid off.
The new owners seem to be a good fit, already owning several automotive companies and benefiting from extensive experience in engineering and production related to performance vehicles. MJ Acquisitions' immediate plans include the development of the 2010 Mustang for the Racecraft brand as well as new Saleen models that will be introduced in the third quarter of 2009. Full details regarding the sale can be found in the press release after the jump.
Gallery: Saleen Irvine Assembly Plant
Photos copyright ©2009 Drew Phillips / Weblogs, Inc.
[Source: SOEC.org]
Gallery: 2009 Saleen Dark Horse Mustang
PRESS RELEASE:
Irvine, California, February 2, 2009 -- After announcing it was looking for a buyer in early November, Saleen Incorporated announced today that MJ Acquistions has acquired certain assets of America's premier automotive lifestyle brand, relating to Saleen's supercharger, aftermarket and high performance street vehicle businesses.
The transaction reportedly was finalized last Friday, which left all of the employees (including Saleen Inc. CEO Chris Theodore) with the legal formality of being without jobs -- at least temporarily. Some hirebacks have already taken place as the transition progresses.
While the terms of the deal were not disclosed, the purchase does not include the assets associated with the supercar (S7 or S5 Raptor vehicles) or the paint operations, which will remain with Saleen Incorporated.
The ownership of MJ Acquisitions controls a family of companies which provide full service engineering, design, manufacturing, assembly and control systems for the automotive industry. It's affilitated companies include Cyltec, LLC, Power-Tec Engineering, LLC, Arrow Racing Engines, LLC, and Control-Tec, LLC.
"MJ Acquisitions and its affiliates are a group of true car professionals with vast experience in the engineering, production, assembly and distribution of performance and racing vehicles" said Theodore in a press release. "This influx of new life into the Saleen, RaceCraft and SpeedLab brands is a win-win situation."
Theodore noted loyal Saleen customers, dealers and enthusiasts can look forward to an exciting transition period.
"We moved on this purchase quickly to ensure that the process of delivering high-quality automobiles and components to the consumers is not disrupted," said Mike Shields, President and CEO of MJ Acquisitions. "We are working with the talented team from Saleen and our own experts to continue the quality, delivery, and performance the customer base and delalership network have come to expect from the Saleen brand. I am particularly excited about Saleen's supercharger experience and its synergies with Power-Tec's development of the next generation of superchargers."
Immediate plans are to roll out the 2010 version of the newly designed Mustang for the Racecraft brand and commence other Racecraft designs for additional vehicles. The new Mustang is shipping from Ford later this month. Additionally, the Saleen brand will have a new design of the flagship S-Line that is already in the works and scheduled for release in the third quarter of 2009.
While this announcement may provide more questions than answers for some, Saleen owners should be assured that key warranty and sales staff are still at the company to serve dealers and owners, with more hirebacks likely coming in the days ahead.
MJ Acquistions does plan to work with the dealer network and others to establish the future product line. A company spokesperson said more announcements will be forthcoming, so stay tuned.
Reader Comments (Page 1 of 2)
Hike15 9:48PM (2/02/2009)
bummer, i really like what saleen does and was really looking forward to a possible s5 raptor. i hope the new owners get the company rolling again.
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geo.stewart 10:55PM (2/02/2009)
luckily, we still have SMS Supercars with the original Steve Saleen
aj121489 6:12PM (2/03/2009)
I totally agree. I love Saleen, between the S7, the Mustangs, and the possible Raptor there are some amazing cars. I would hate to see it go. If I had the money I'd put my name down for an S7 right now
Jake B 9:48PM (2/02/2009)
Bring it on! MOAR Mustang variations!!!!!!!!!!!!!!!!!!
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Catapult 10:07PM (2/02/2009)
I'm sure Ford is already working on granting that wish. >.>
Kimura 11:33PM (2/02/2009)
"...but MJ Acquisitions plans on hiring many of the workers including several that were laid off."
Grammar, do you have it?
Anyway this should be interesting see how it pans out.
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MajorGeek 11:02PM (2/02/2009)
I don't know the whole story, but to create Saleen cars without Steve Saleen never made sense to me. Would you want to buy a Shelby without Carroll Shelby being involved? Personally, I would not, but maybe someone can fill me in on the deal here in case I am missing something?
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Vlad 11:15PM (2/02/2009)
nobody likes smartasses
MajorGeek 11:54PM (2/02/2009)
Then most people must HATE you. I made a comment with a request for clarification if I was missing something about how Saleen and SMS are run and by who. Obviously you don't want to be part of the solution, but rather to continue a perceived problem. Whatever.
Mobius_1 5:59AM (2/03/2009)
People still buy Ferraris without any actual Ferrari people involved, people still buy Lamborghinis although none of the Lamborghini family actually go and engineer the cars. I suppose sometimes a name becomes (or really near to) a legend and thus a brand. And we all know brands sell, just look at BMW!
saleen 09 11:10AM (2/10/2009)
keep in mind now they dont publish all the facts that go one with companys and buy outs. Just so u know steve saleen is the second largest stock holder in the company.
Trent 11:12PM (2/02/2009)
I live just down the street where these are made and I am going to miss seeing them out on the road filling them up with gas and testing them. They really are a sight to behold.
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aj121489 6:16PM (2/03/2009)
Dude you are one lucky mofo lol I thought I had it good with a Ferrari dealership around the corner
Farmboy 11:23PM (2/02/2009)
This is depressing to me. I love Saleen. I am fortunate enough to own a few myself. They are truly incredible vehicles to just sit in. You don't feel like you are sitting in a modified Mustang. The S7 is my pride and joy.
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Level 12:03AM (2/03/2009)
So Saleen built his company to many great achievements sold it when it was at its peak to an offer he couldnt refuse to then let his Former company hit the gutter and in the process open up another "Saleen" company under his control again..I wonder once he grows SMS to great levels is he going to sell it at the right price again??
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GTX 12:46AM (2/03/2009)
I like that Saleen Thunderbird.....
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aj121489 6:18PM (2/03/2009)
Yea me too I've never seen that before
jdemonto 12:53PM (2/03/2009)
Steve Saleen likley wanted a company that had less strings attached and that can offer something different that mustangs. SMS will offer mustangs,Challengers and cameros
Jason
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blahblahdakjdladj 9:42AM (2/03/2009)
The fact that any of these (mustangs) get sold for anything over $50k boggles my mind. I am surprised saleen is able to stay in business with these overpriced body kits and minor tweaks.
A supercharched saleen with suspension and all shouldn't cost a dime over $50k. Fully loaded. Why would I pay this pos saleen when I could have a Z06 or even a Viper for what they are asking for a Shelby GT500KR or a fully tricked out saleen. It doesn't make sense.
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JDMlover 9:37AM (2/03/2009)
How is this breaking news?
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