Northvolt in talks with investors, lenders over €200m funding
Battery maker Northvolt is reportedly in talks with investors and lenders to secure about €200m in short-term funding as it seeks to stabilise its finances.
Reuters cited sources as saying that the talks have been taking place this week and that the company still aims to raise a larger amount of capital for the long term.
On Friday, Northvolt repeated a statement from 24 September that said it had made significant progress in recent weeks in its effort to raise cash. It declined to comment further to Reuters.
Late on Thursday, Northvolt said it would be able to pay its taxes of 287 million Swedish crowns that fall due on Monday, responding to speculation as to whether the company would be able to do so.
One source told Reuters the short-term funding may be made up of a mix of pre-orders from customers for batteries and loans as shareholders, customers and lenders all discuss forms of support.
It was also understood that there is a verbal agreement for €150m in funding, but a final deal has not yet been agreed.
The sums involved are much smaller than the 15bn Swedish crowns that Swedish media had reported Northvolt was looking for a few months ago, or the 7.5 billion crowns it was reported to be seeking last month.