Northvolt, the biggest hope in Europe for the production of batteries in the region to power the transition to electric vehicles, will be divided and sold after a bankruptcy request in her country of Sweden on Wednesday.
A company, which seemed to be the best opportunity of Europe a few years ago to compete against Chinese rivals, Filed for bankruptcy protection 11. In the United States last year In an attempt to buy it more time to raise money.
But the funds insurance proved to be too heavy. On Wednesday, Northvolt said in a statement that a Swedish guardian who was to appoint the court would take over the procedure for sale of his business and property.
Northvolt Germany and Northvolt North America branches are not part of the bankruptcy proceedings in Sweden.
Founded in 2016 from former Tesla CEO, North He has been fighting for months, reducing jobs and restructuring of surgery even before seeking bankruptcy protection.
“Despite the fact that he followed all the available options for negotiating and implementing financial restructuring, including the procedure for the restructuring of Chapter 11 in the United States, and despite the liquid support of our lenders and key contracting parties, the company was unable to provide the necessary financial conditions to continue in the current form,” said Tom Johnstone, a temporary president.
European car manufacturers get their batteries from LG Energy Solution and Samsung, as well as the leading CatL manufacturer of the world. By 2030, Northvolt sought to capture 25 percent of the European battery market.
Last year, the company was able to provide a $ 5 billion loan from the European Union to expand its production.
But it was still not enough to deal with the challenges the company faced, from the accidents in the Swedish plant to the loss of the contract BMW worth 2 billion eurosor $ 2.15 billion.
