Swedish auto maker Saab, struggling to resolve serious financial difficulties by attracting new investors, said Wednesday it had shed 155 workers, close to a third of its workforce.

The redundancies fell short of a previously announced figure of up to 200 employees.

National Electric Vehicle Sweden (Nevs), the Chinese-owned company created to buy Saab in June 2012 after it filed for bankruptcy, reiterated a previous statement that the decision was “due to lack of work”.

Production at the industrial site of Trollhaettan, southwestern Sweden, halted in late May, when Nevs was unable to pay its suppliers.

The company which now employs about 400 people gave no information about the progress in talks with potential new investors, which if successful could lead to a resumption of production.

Swedish media reports have indicated that Nevs — 78-percent owned by China’s National Modern Energy Holdings and 22 percent by the Chinese city of Qingdao — has been in negotiations with automakers Mahindra (India) and Dongfeng (China).

Since 2000, Saab automobile has had no connection with the defence and aeronautics firm with the same name. It only produces one model today, the electric 9-3 Aero Sedan, mainly targeting the Chinese market.