NEVS, the name given to the leftovers of SAAB, and Koenigsegg announced a wide-ranging partnership on Tuesday that will allow the two to work on everything from hypercars to EVs.
First, NEVS, owned by Evergrande—a Chinese real estate company—has made a 150-million-Euro (roughly US$171-million) investment in Koenigsegg. For that, it gets a 20% minority stake in the niche manufacturer.
The two have also announced a joint venture that would allow the two partners to make a more mainstream, electric vehicle. The deal gives NEVS a 65% stake in the venture, for which it will kick in $150-million (USD). Koenigsegg, meanwhile, gets a 35% stake in the business for its technical and engineering expertise.
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In a statement, Koenigsegg stated that it would gain access to NEVS’ Trollhattan manufacturing facilities while holding onto its home in Angelholm. Koenigsegg also expects to be able to grow, albeit slowly, thanks to this investment.
Along with the Trollhattan production facility, Koenigsegg gains a new avenue into the car-hungry Chinese market.
Koenigsegg already has experience engineering electric cars. In 2017 Chinese-Israeli manufacturer Qoros showed off an electric prototype with 1,300 hp that was engineered by Koenigsegg.
This EV, though, will apparently be different as Koenigsegg promises that it is being designed for a “new and untapped market.”
“Koenigsegg is breaking new ground, capitalizing on our unique technology, performance track record and market position to explore and develop new products,” said Christian von Koenigsegg, CEO of Koenigsegg in a statement. “This partnership will create the best conditions for Koenigsegg to accelerate growth in the hypercar market, as well as enabling us to break ground into an untapped market segment together with NEVS. We very much look forward to working together with NEVS to develop products that ensure a sustainable future.”
A version of this article originally ran on SwedeSpeed.com