Shanghai (ZXZC)- Evergrande Health announced that on January 29, its subsidiary NEVS entered into a joint venture agreement with Koenigsegg Automotive AB (KAAB), a supercar company based in Sweden, in relation to the establishment of the Project Company dubbed Konev AB. The Project Company will be owned as to 65% by NEVS and as to 35% by KAAB.

Pursuant to the joint venture agreement, NEVS shall make a series of investment in the Project Company (to be settled by internal resources of the Group), in the form of unconditional shareholders contributions, amounting to a total of $150 million.

In addition, KAAB shall make investment in the joint venture, in the form of unconditional shareholder's contributions, amounting to a total of $70 million prior to the production of the car.

According to Evergrande Health's announcement, KAAB is one of the supercar brand names at the forefront of the world. It enjoys the reputation as a “ghost sports car”. The top speed of KAAB's world-record breaking mass production vehicles exceeds 447 km/h, and 0-440-km/h only takes 33.29 seconds. The Sweden-based supercar maker owns various world-leading technologies in the fields of lightweight, engine-powered systems, electrification and AI driving etc.

NEVS and KAAB will endeavor to research, develop and manufacture the world's top new energy vehicle through the establishment of the joint venture.

On the same day, NEVS also entered into the Transaction Agreement with Spirit of Performance AB (SOP) and Alpraaz AB (Target Company). According to the agreement, the Target Company agreed to issue and allot to NEVS, and NEVS agreed to subscribe for the New Shares; and SOP agreed to sell, and that NEVS agreed to purchase the Sales Shares. The total consideration payable by NEVS under the Transaction Agreement shall be €150 million.

The announcement shows that SOP is an investment holding company with the 85.1% equity interest in the Target Company, while the Target Company's major asset is KAAB.