(Bloomberg) — Swedish battery maker Northvolt AB raised $2.75 billion in its largest financing spherical but to assist pay for further manufacturing capability and underpin its main position in Europe.
The provider to producers together with Volkswagen AG and BMW AG introduced the personal placement on Wednesday. It was co-led by Swedish pension funds AP1, AP2, AP3, AP4 and Omers Capital Markets, alongside current buyers Goldman Sachs Asset Administration and VW Group.
The corporate, which was based by former executives from Tesla Inc., at the moment leads European efforts to construct a home provide chain for lithium-ion batteries. As different initiatives within the area collect tempo, Northvolt has focused reaching a 25% share of the European market by 2030.
Volkswagen, which except for being a buyer can be a shareholder in Northvolt, contributed $620 million to the financing spherical, it mentioned in an announcement. The capital injection permits it to keep up a roughly 20% stake within the Swedish firm.
ATP, Denmark’s largest pension fund, mentioned it added 900 million kroner ($147 million) to an current funding, bringing the full to 1.5 billion kroner. Its chief government, Bo Foged, mentioned ATP’s involvement in Northvolt the previous two years “has clearly not been with out threat, however Northvolt breathes sustainability into your entire worth chain and that matches completely with our personal ambition.”
The funds raised within the newest financing spherical might be used to increase annual capability on the Northvolt Ett manufacturing unit in Skelleftea, Sweden, to 60 gigawatt hours, from an earlier goal of 40 GWh.
“We now have a strong base of world-class buyers and clients on-board who share Northvolt’s mission of constructing the world’s greenest battery to allow the European transition to renewable power,” Northvolt CEO Peter Carlsson mentioned within the assertion.
The Skelleftea plant would be the firm’s first large-scale manufacturing facility, churning out cells by the top of this yr.
Northvolt at the moment has contracts price about $27 billion with clients together with VW, BMW and Scania, that are planning to buy its batteries, based on ATP.
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