Norway’s Hydro Takes Full Control of Battery Recycler Hydrovolt
In a significant move, Norway’s Hydro has agreed to acquire the remaining shares in battery recycler Hydrovolt from Swedish electric-vehicle battery maker Northvolt for 78 million Norwegian crowns ($6.79 million). This deal will increase Hydro’s stake in Hydrovolt from 72% to 100%.
Strengthening Partnership and Securing Growth
Hydrovolt, a joint venture partner of Northvolt, has been facing challenges due to Northvolt’s Chapter 11 bankruptcy protection in the U.S. since November. However, Hydro is committed to exploring new partnerships to secure the long-term financing and growth of Hydrovolt. The company aims to finalize the acquisition of the remaining shares by the end of the quarter, subject to court approvals in accordance with Northvolt’s Chapter 11 process.
Continued Collaboration for Sustainable Battery Recycling
Despite the challenges, Hydrovolt and Northvolt’s battery recycling plant, Revolt, will continue their commercial collaboration. This partnership is crucial for the development of sustainable battery recycling solutions, a critical component of the electric vehicle ecosystem.
Northvolt’s Struggle to Stay Afloat
Northvolt, once hailed as Europe’s leading electric-vehicle battery champion, is facing significant challenges. The company is struggling to stay afloat due to production problems, loss of a major customer contract, and a lack of funding. To address these issues, Northvolt is slimming down and cutting jobs to ensure its survival.
A New Era for Hydrovolt
With Hydro’s acquisition of the remaining shares in Hydrovolt, the company is poised to take a leading role in the battery recycling industry. As the demand for sustainable energy solutions continues to grow, Hydrovolt is well-positioned to capitalize on this trend and drive innovation in the sector.
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