Northvolt has raised $2.75 billion in equity to finance further battery cell production capacity and R&D efforts, to meet the increasing demand of customers engaged in the transition to decarbonized, electric solutions.
The private placement was co-led by new investors AP funds 1-4, via the co-owned company, 4 to 1 Investments, and OMERS Capital Markets, one of Canada’s largest defined benefit pension plans, alongside existing investors Goldman Sachs Asset Management and Volkswagen.
Also participating in the equity raise are current owners AMF, ATP, Baillie Gifford, Baron Capital Group, Bridford Investments Limited, Compagnia di San Paolo, Cristina Stenbeck, Daniel Ek, IMAS Foundation, EIT InnoEnergy, Norrsken VC, PCS Holding, Scania and Stena Metall Finans.
Strong sign of confidence in our mission to build the world's greenest battery
“The broad base of world-class investors, now also including the Swedish AP funds 1-4, together with customers that are global leaders in their fields, is a strong sign of confidence in our mission to build the world’s greenest battery to enable the European transition to renewable energy,” says Carl-Erik Lagercrantz, Chairman of Northvolt.
Including the private placement, Northvolt has now raised more than $6.5 billion in equity and debt to enable an expansion plan leading up to and beyond 150 GWh of deployed annual production capacity in Europe by 2030.
In addition, Northvolt has to date secured in excess of $27 billion worth of contracts from key customers, including BMW, Fluence, Scania and Volkswagen, to support its plan, which also includes establishing recycling capabilities to enable 50 percent of all its raw material requirements to be sourced from recycled batteries by 2030.
Goldman Sachs Bank Europe SE and Morgan Stanley & Co. International plc act as financial advisors to Northvolt.