Northvolt Increases $1.1 Billion To Roll Out Battery Manufacturing Facility In Europe
- The decision is required to support the rapidly expanding need for batteries.
- Northvolt is establishing making capacity to meet $55 billion worth orders from crucial clients, such as BMW, Fluence, Scania, Volvo Cars, as well as Volkswagen Group.
Swedish battery manufacturer Northvolt has shared signing a $1.1 billion exchangeable note in the direction of funding the expansion of battery cell and cathode material production in Europe. The choice has been taken to complement the increasing demand for batteries.
Investors that lent involvement in the capital raising consisted of AMF, AP funds 1-4, ATP, Ava Investors, Baillie Gifford, Compagnia di San Paolo with Fondaco Growth, Folksam Group, Goldman Sachs Asset Management, IMAS Foundation, Olympia Group, OMERS Capital Markets, PCS Holding, Swedbank Robur, TM Capital as well as Volkswagen Group.
Peter Carlsson, Co-Founder and also Chief Executive Officer, Northvolt, said, "We will certainly continue to strive to supply on the promise we have actually made to them to construct the world's greenest battery."
Along with this capital, the business has actually protected concerning $8 billion in equity as well as debt since 2017. It looks to set up a supply of sustainable batteries to promote the decarbonization of society with this.
Northvolt has presently established sights on developing production capacity to supply orders worth $55 billion from vital customers that involve the similarity BMW, Fluence, Scania, Volvo Cars, and Volkswagen Group. Northvolt's desires improve in-house skills and also visibility throughout the battery worth chain. Northvolt's recycling program, that has been launched widespread, aims to attain fifty percent of its basic material demands sourced from recycled batteries by 2030.
The CEO better included, "The combination of political decision making, clients devoting a lot more strongly to the change to electric lorries, and a very rapid rise in consumer demand for cleaner products, has actually produced an ideal storm for electrification."
Northvolt is presently embarking on jobs that include the ramp up as well as growth of Northvolt Ett, along with the establishment of the Northvolt Volvo Cars joint venture gigafactory in Gothenburg, Sweden, and its 3rd gigafactory, Northvolt Drei, in Heide, Germany.
A cathode factory, Northvolt Fem, is being parallelly set up in Borlange, Sweden.