China backed New Electric Vehicle Sweden (NEVS) who is formerly known as Saab is making a comeback. Koenigsegg announced that they have formed a joint venture which is more of a strategic partnership. It will help them in development of electric vehicles in higher volumes and will also help them to grow bigger hypercar segment. Chinese backed NEVS is investing over $170 million in this new partnership. While doing so, they have also brought minority stake of 20 percent in Koenigsegg parent company along with 65 percent stake in joint venture.
Koenigsegg will retain remaining 35 percent stake by contributing towards intellectual property, technology licenses and product design. Incidentally this is not the first time both companies have collaborated together but there is huge benefit for Koenigsegg. With this partnership, Swedish based automaker will able to get their hands on NEVS’s production and engineering facilities in Sweden. In addition, they will gain huge access to their dealership network in China. Majority owner of NEVS is Chinese property dealer by the name of Evergrande.
Evergrande also has a controlling stake in battery maker in China by the name of Shanghai CENAT along with 32 percent stake in Faraday Future. Founder and CEO of Koenigsegg said that the company is breaking new ground that will capitalise on their unique technology, performance track record and market position for exploration and development of new products. It will further accentuate Koenigsegg’s tryst of accelerated growth in hypercar market and break new grounds.