A123 Systems Gets $50 Million Loan From Wanxiang

A123 Systems Inc., the bankrupt maker of electric-car batteries that received a $249.1 million federal grant, won court approval to borrow $50 million from China’s Wanxiang Group Corp.

U.S. Bankruptcy Judge Kevin Carey gave interim approval for the loan today in Wilmington, Delaware. Wanxiang replaced Johnson Controls Inc. as the lender for A123’s Chapter 11 case. Johnson Controls said it withdrew as the lender to avoid a fight over the financing.