(Reuters) – Volvo Vehicles won’t pay Northvolt any cash for its 50% stake of their battery enterprise Novo Power that it had agreed to accumulate, in keeping with the automaker’s quarterly report on Thursday.
Final week, Volvo Vehicles agreed with Northvolt to take over its stake within the enterprise, which included a deliberate Gothenburg battery cell manufacturing facility with out disclosing the quantity concerned.
Northvolt, as soon as thought-about Europe’s greatest hope for a battery champion, filed for U.S. Chapter 11 chapter safety in November final yr.
“The acquisition consideration rounds to 0 m SEK. The acquisition quantity has been negotiated as half of a bigger settlement with Northvolt, taking many elements into consideration,” a Volvo spokesperson advised Reuters.
Northvolt didn’t reply to a request for remark.
The Novo battery manufacturing facility, introduced in 2021, was meant to start out manufacturing in 2026 however Volvo has mentioned a brand new investor can be wanted for that to occur, and that it was exploring different choices for the constructing.
Volvo Vehicles CEO Jim Rowan advised Reuters on Thursday that it had wind- and waterproofed the constructing to guard it whereas it decides what to do with it. Development had virtually completed when Northvolt’s issues arose final yr.
“We’ll resolve precisely how we use that constructing sooner or later, whether or not we promote it or whether or not we use it for a distinct objective, we’ll determine that out within the months forward,” Rowan advised Reuters.
($1 = 10.9147 Swedish crowns)
(Reporting by Marie Mannes, writing by Alessandro Pardi; Enhancing by Bernadette Baum)
