The Swedish brand has struggled for cash since it was sold by General Motors to the Spyker sports car company and its entreprenurial owner Victor Muller, but has now formed a strategic alliance with the Hawtai Motor Group.
The Chinese company is investing a total of $203 million in Saab through a 29.9 per cent shareholding and a loan that matches an earlier financial boost from the Gemini group in Europe.
The new money means Saab's production line at Trollhatten will begin operating again next week after a shutdown triggered by component companies that had not been paid.
"Production is going to re-start at the earliest on Monday, and the latest on Tuesday," Saab chairman, Victor Muller, says in a telephone hook-up from Europe.
He believes Saab now has the cash it needs to go forward, as well as a strategic partner that will produce the 9-3 in China and also handle distribution of other Saab models in the world's fastest-growing car market.
"All things being equal, I hope we've seen the last of the growing pains," says Muller.
He is enthusiastic about everything from the prospects of Saab's much- needed baby car, the 9-2, to the potential for a large SUV for China, but says it is too early to get into detail.
"We're currrently putting together a business plan for the joint venture."
Muller says Saab was approached by a dozen companies about some sort of partnership, but Hawtai was chosen because it is a similar size to Saab and has similarly aggressive management and growth plans.
"We have been courted by at least a dozen individual mnaufa for cooperation in China.We chose this one for many reasons, but one in particular is that it is a very entreprenurial company. Their size is very attractive. So they are a very equal partner."