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., Bloomberg News reported today. Bankruptcy Judge Kevin Carey gave interim approval for the loan yesterday. Wanxiang replaced Johnson Controls Inc.as the lender for A123’s chapter 11 case. Johnson Controls said that it withdrew as the lender to avoid a fight over the financing. A123, based in Waltham, Massachusetts, filed for bankruptcy protection last month with plans to sell its automotive-business assets to Milwaukee-based Johnson Controls for about $125 million. Wanxiang said last week that it wants to be the lead bidder at an auction for A123’s assets.
