A city in eastern China has agreed buy a stake
in a consortium that plans to make electric vehicles using the
Swedish carmaker Saab's name, the group announced Tuesday.
The investment arm of the city of Qingdao, Shangdong province, was
initially to invest 2 billion kronor (305 million dollars), said the
consortium, National Electric Vehicle Sweden AB (NEVS).
Qingdao was set to own a 22-per-cent stake in NEVS, which last
year bought the main assets of Saab Automobile and its subsidiaries
Saab Automobile Powertrain and Saab Automobile Tools. The sum has not
been disclosed.
"The deal gives financial capacity, which is an important step in
implementing the business plan NEVS has," NEVS board chairman
Karl-Erling Trogen said.
A feasibility study was also to be launched with Qingdao, which
has a strategic port and is a potential market for NEVS vehicles.
NEVS has said production of future vehicles was envisaged at
Saab's main plant in Trollhattan, in south-west Sweden, with the
first electric vehicles to be launched in 2014.
