Swedish sports car manufacturer Koenigsegg Automotive AB announced that the company will receive a $170 million commitment from electric vehicles developer National Electric Vehicle Sweden AB (NEVS).
Koenigsegg Automotive said that it plans to use the funds to boost its electrification effort.
With the commitment, NEVS is taking a 20 percent minority stake in Koenigsegg’s parent company and the companies are also establishing a joint venture (JV) to extend into new market segments.
In the JV, NEVS is contributing $150 million in starting capital for a 65 percent stake and Koenigsegg obtains 35 percent by contributing primarily with intellectual property, technology licenses, and product design.