Swedish Carmakers Form JV

National Electric Vehicle Sweden AB (NEVS) is acquiring a 20% stake in Koenigsegg AB for €150 million ($171 million) and is forming a joint venture with the supercar company to broaden their existing relationship.

NEVS will provide $150 million in capital to give it a 65% stake in the unnamed venture. Koenigsegg, which will hold the remaining 35% share, will contribute intellectual property, technology licenses and product design.

The companies, which have worked together on several projects in the past, plan to use the joint venture to develop parallel models and a joint product for new segments, with a focus on electrification. Koenigsegg also will have access to NEVS’ production facilities in Sweden and China to increase capacity for the former’s hypercar lineup.

Earlier this month, Chinese property developer Evergrande Group acquired a 51% stake in NEVS for $930 million. Evergrande also has a controlling stake in California’s Faraday Future Inc., and it recently invested $156 million for 58% of Chinese battery maker Shanghai CENAT New Energy Company Ltd.

NEVS was formed in 2012 when it acquired the assets—but not rights to the brand name—of Saab Automobile AB. The new company began building an all-electric version of the Saab 9-3 Aero sedan and 9-3X crossover in Tianjin, China, at the end of 2017.

Koenigsegg produces the Agera supercar, which holds the speed record for a production car at 277.9 mph. The company is developing a second model, the hybrid-electric Regera, which is expected to top 300 mph. Several other carmakers also are targeting 300-mph hypercars.