The Chinese will invest $ 2 billion in the production of electric Saab

The Chinese will invest $ 2 billion in the production of electric Saab

January 16, 2019 0 By autotimesnews

Former co-owner of startup Faraday Future bought electric vehicle manufacturer NEVS

The Chinese group of companies Evergrande, which previously owned a large stake in the failing electric vehicle startup Faraday Future, bought out a controlling stake in the consortium NEVS, which produces electric cars based on the Saab 9-3 sedan. Investment in the project will be about 2 billion dollars.

In 2012, after the bankruptcy of the Swedish company Saab, then part of the concern General Motors, the automaker’s assets were bought by a Swedish businessman of Chinese origin, Kai Johan Jiang, who heads the consortium of National Electric Vehicle Sweden AB (NEVS).

After that, NEVS developed an electric car based on the Saab 9-3 sedan and launched its production at a factory in China’s Tianjin. Now the company is building a second factory in Shanghai.

According to NEVS, Evergrande Health has bought out a 51 percent stake in the company. In the hands of Kai Johan Jian, 49 percent of the shares remain. Evergrande paid $ 930 million for shares. She will also provide NEVS a loan of $ 1.1 billion over three years.

There are already large orders for NEVS products: last year an agreement for a billion dollars was signed with the Chinese company Volinco for the supply of 20,000 cars, and in 2015, the leasing company Panda New Energy ordered 150,000 cars.

Investments from the Evergrande Group should help the young automaker to expand production, reaching 200,000 electric vehicles per year.