Norsk Hydro Secures Full Ownership of Hydrovolt Amid Northvolt Struggles

Norsk Hydro has acquired the remaining shares of battery recycler Hydrovolt from Northvolt for 78 million Norwegian crowns. Northvolt faces financial challenges and production issues, leading it to divest non-core businesses. Norsk Hydro aims to find a new partner for Hydrovolt, focusing on its recycling synergy with its current operations.

Norsk Hydro has taken complete control of battery recycling firm Hydrovolt by buying the remaining shares from Swedish battery maker Northvolt. The deal, valued at 78 million Norwegian crowns, comes amid Northvolt's financial struggles and production setbacks.

Northvolt, once considered Europe's prominent electric-vehicle battery hopeful, is simplifying its operations due to a lost customer contract and a funding crisis. The company sought Chapter 11 bankruptcy protection in the U.S. more recently, shutting down several ventures, including its stake in Hydrovolt.

Norsk Hydro plans to maintain Hydrovolt's recycling operations, which align more closely with its aluminum business, and seeks a new partner to aid further developments. Northvolt remains a commercial collaborator, purchasing recycled materials, while Hydro plans to finalize the acquisition pending court approval.

(With inputs from agencies.)