Further payments are expected this week and by October 22, the company added. Swedish Automobile didn't say how much the initial payment had been, but a report in Wednesday's Swedish daily Dagens Industri said the automaker had received 100 million crowns (96 million yuan).

Quoting unnamed sources, the paper said the money will be used to pay wages at Saab when a government salary insurance program runs out. The salary insurance plan started when the company received creditor protection in late September.

The money is part of a 614 million yuan loan secured by Youngman that is intended to see cash-starved Saab through the period of creditor protection, until Chinese authorities authorize a bigger investment by Youngman and China's Pang Da.

Swedish Automobile intends to repay the bridge loan with the proceeds of these bigger 2.1 billion yuan equity deals, "which are still subject to approval by relevant authorities and parties," the company said in the statement on Thursday.

Pang Da has already paid 395 million yuan to Saab in a separate deal to purchase 2,000 cars but has not received any cars due to a production halt since April.

China reviews deal

The paper said a decision by China's National Development and Reform Commission is likely to be delayed. However, the paper quoted a source with insight into the process as saying approvals should be wrapped up by mid-November.

But gaining Chinese government clearance could be difficult because Beijing follows a price-sensitive policy when it comes to overseas acquisitions.

Meanwhile, the chairman of Chinese auto dealer Pang Da Automobile Trade Co. said he is "confident" that his planned investment in Saab Automobile AB will go through, clarifying earlier remarks he made suggesting the deal was void.

Pang Qinghua said the terms of the deal would still be subject to the bankruptcy administrator's review of the Swedish company. (See accompanying article in this newsletter.)

Awaiting approval

Saab has struggled for months to stave off collapse, seeking new investors and selling assets to pay suppliers and employees and resume production at its plant in Sweden.

In June, Saab's owner signed a non-binding memorandum of understanding for Zhejiang Youngman Lotus Automobile Co. to take a 29.9 percent stake and for Pang Da to take a 24 percent stake. The deal would be worth 2.1 billion yuan.

The investment hinges on approval from the Chinese and Swedish governments and a green light from the European Investment Bank and Saab shareholder General Motors.