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Austrian bank to provide Brixxon with €1.5 mln loan

Erste-owned Steiermarkische Bank will provide Hungary's Brixxon Elektromos Auto with a €1.5 million Austrian state-guaranteed loan to finance the cost of launching electric car production at the company's plant in Austria, the business daily Napi Gazdaság reported.

Brixxon CEO-owner Sándor Horváth told Napi Gazdaság that the loan will enable the company to purchase the parts necessary to launch production of its Bontino electric cars.

Brixxon plans to build 2,600 electric cars at its plant in Weiz (E Austria) in 2009 and expects after-tax profit of about €1.5 million next year.

The company plans to sell the Bontinos primarily in Austria, Germany and Spain for between €5,900 and €7,300.

Brixxon also plans to build photovoltaic, solar-powered battery stations.

The company closed its production base in Budapest and moved to Austria earlier this year due to more favorable economic conditions in the latter country.

Napi Gazdaság wrote in March that the community of Weiz had agreed to pay 30%-40% of the rental costs for Brixxon's assembly plant and offer further incentives to the company if it employs Austrian labor. (MTI – Econews)