Mahindra To Buy Majority Stake In NEVS (SAAB), 9-3 EV Lives On


Prototype SAAB 9-3

Prototype SAAB 9-3

NEVS or National Electric Vehicle Sweden has had somewhat of a rocky road since taking over what was left of SAAB motors and turning it into an EV production house.

SAAB 9-3 Production (of some sort) Briefly Got Underway Last April

SAAB 9-3 Production (of some sort) Briefly Got Underway Last April

It was all good for about 4 weeks last April, building an electric version of the 9-3 and dreaming of big things in the future.

Unfortunately, production was halted in May, then bankruptcy was threatened in August…before just about everyone was laid off (200 employees) and sent home in September.

With original partner Qingbo Investments not coming up with promised cash to NEVS, the Swedish company was forced to look for new funding; and it appears they have found it in Mahindra as the company disclosed Monday (legal PDF here) that it was re-organizing with an “OEM” coming on as majority stakeholder.

SAABS United has since disclosed that the partner is Mahindra & Mahindra.

Effective immediately, Mahindra is providing the cash in the interim to keep the company afloat and doing what needs to to prepare for future production.    NEVs disclosure says that Mahindra will put up 5 million euros per month while the deal is being ironed out…and presumably old creditors are shook down to take pennies on the dollar owed to them.

The agreement is expected to be completed by February.

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5 responses to "Mahindra To Buy Majority Stake In NEVS (SAAB), 9-3 EV Lives On"
  1. Don’t know what they are fuzzing around that much. These sums are really peanuts in the automobile industry.

    1. Ahldor says:

      Well, still if it’s “only” 1 million dollar you would want some return of the money. The problem, as I see it, is that NEVS has a looong way to go before they can make a good profit. That is probably what most other auto companies sees about NEVS also.

      That Mahindra invests in NEVS is probably because, like you mention, it’s not really that much money for Mahindra. And they see the profit down the line if they only allow NEVS to develop a new car. They need a new car since the 9-3 is basically a developing platform.

      I actually wish Tesla would go and buy NEVS and use the facility for manufacturing Tesla cars. Not only would they get a decent facility, they would also get some fine engineers that could be a good asset for Tesla. But it’s just a wish.

  2. Mikael says:

    Which number are you refering to? The couple of billions needed to brind out a few EV models on the “new” Phoenix platform?

    Just let it die already.

  3. George says:

    Good News!
    A quality car and fun to drive.
    I’ve also read that they will launch 4 models
    (in swedish)

  4. PG says:

    I want One!
    My favorite is a 9-4 EV