China’s National Electric Vehicle Sweden, which is the current owner of the car brand and assets of Sweden’s Saab, has announced it decided to halt the already very small volume of cars because of an inability to gather funds.

The corporation NEVS bought the remaining assets and the car brand Saab and last year the marques fans rejoiced as the small company decided to restart small scale production of the 9-3 model, while also aiming to soon introduce on the assembly line the full electric version of the model. Now, all that has come to a bitter stop, as the company can’t find the necessary cash to cover outstanding debt.

“The reason is that NEVS’ part-owner, Qingbo Investment Co., has not fulfilled its commitment to, when necessary, finance NEVS’ activity,” it said in a statement. “NEVS is therefore making a temporary and controlled halt of production, which hitherto has been six cars per day, and is reducing agency staff.”

NEVS spokesman Mikael Ostlund announced that since Thursday, the Trollhattan plant in south Sweden would stop making cars again for at least four months. Chinese city of Qingdao, which owns Qingbo and uses it as an investment agency, took a 22% stake in NEVS in 2013 and also ordered a fleet of 200 electric Saab models for use in the city.

Via Automotive News Europe


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