The Swedish hypercar company aims to take EVs to a whole new level.
Since its founding in 1994, Koenigsegg has forged its own path, developing its own engines, transmissions, and many other vital components in-house. The results speak for themselves. But times are changing and the Swedish hypercar company has just announced it is forming a strategic partnership with fellow Swedish carmaker NEVS in an effort to speed up development of electrification technologies as well as strengthening opportunities in the hypercar segment.
NEVS, if you didn't already know, was founded only in 2012 after it acquired the assets of now-defunct Saab. While its headquarters is in Sweden, it has expanded operations to China.
Its upcoming NEVA 9-3 EV will soon begin production at a just-completed plant in Tianjin, China. A second production facility for EVs is currently under construction in Shanghai and is scheduled to open in 2020. Koenigsegg and NEVS were already collaborating on various projects, but now the relationship has been taken to the next level.
As part of the deal, NEVS is investing 150 million euros into Koenigsegg for a 20 percent minority stake. In addition, both companies are forming a new joint venture with the specific goal of expanding into new market segments where NEVS already plans to enter.
NEVS is contributing a total of $150 million in starting capital for a 65 percent stake in the new venture, while Koenigsegg is receiving a 35 percent stake for its contributions of intellectual property, technology licenses, and product design. To be honest, we never thought Koenigsegg would join forces with another company because we know it highly values its independence. Then again, NEVS offers Koenigsegg "extensive automotive knowledge… whilst maintaining (its) center of excellence in Angelholm, Sweden," according to the press release.
"Koenigsegg is breaking new ground, capitalizing on our unique technology, performance track record and market position to explore and develop new products," says founder and CEO Christian von Koenigsegg. "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."
If you recall, Koenigsegg once considered buying Saab when GM put it up for sale several years ago, but wisely opted out. Ironically, it's now partnering with the company that ultimately did.