In February 1983, following successful trials with a prototype vehicle, the Swedish Defence Matériel Administration awarded a contract to Hägglund and Söner (in late 2004, as a result of acquisitions and mergers Alvis Hägglunds became BAE Systems Hägglunds) for the conversion of a number of obsolete Ikv-102 and Ikv-103 self-propelled infantry cannons, which were withdrawn from front-line use some years previously, into Pvrbv 551 anti-tank missile carriers. At the same time the company was awarded a contract to convert the Ikv-102 and Ikv-103 into the now SAAB Bofors Dynamics RBS 70 SAM vehicles. First vehicles were delivered to the Swedish Army in 1984 and production continued until mid-1986.

The modifications to the chassis and suspension were extensive and included replacement of the engine and transmission, extending the crew compartment to the rear of the hull, improving protection and fitting new communications equipment and observation devices.

The vehicles are organised into companies and supplied to both armoured and mechanised brigades.

It is believed that a total of 55 of these Pvrbv 551 anti-tank missile carriers armed with Raytheon Systems Company TOW missiles were delivered to the Swedish Army.

The gun has been removed from the glacis plate and the hole plated over. The driver sits at the front of the hull on the left side and has a single-piece hatch cover and fixed day periscopes for observation to the front and sides. The commander sits to the right of the driver and has a single-piece hatch cover that opens to the right rear, and day observation periscopes. The commander's position is raised above the driver for improved observation.

In the centre of the hull roof is a larger circular opening covered by a two-piece hatch cover opening either side. The Raytheon Systems Company TOW ATGW system is carried inside the hull and raised up when required for action. Reserve missiles are stowed in the hull rear above the engine and transmission compartment and access to these is via hatches in the roof, which open either side.

The suspension, which is identical to that of the Ikv-102 and Ikv-103, consists of six rubber-tyred road wheels either side with the drive sprocket at the rear, idler at the front and two track-return rollers. The original engine of the Ikv has been replaced by a Ford V-6 petrol engine, also installed in the BAE Systems Hägglunds Bv 206 all-terrain vehicle in service with the Swedish Army. The crew of four consists of the commander, driver, gunner and loader.

This has a similar hull to the Pvrbv 551 anti-tank missile carrier but is armed with the SAAB Bofors Dynamics RBS 70 surface-to-air missile system. When travelling, the launcher is retracted under armour protection and raised when required. Reserve missiles are stowed in the hull rear above the engine and transmission compartment with access via the front edge of the magazine, which folds upwards. This version has a four-man crew. A thermal sight can be fitted to engage targets under night and poor weather conditions.