Northvolt Divests Swedish Site Amid Strategic Expansion Review

Northvolt, a lithium-ion battery manufacturer, announced the divestiture of a central Swedish industrial site initially intended for expansion. The site was sold to Borlange municipality for $49 million, with a third of it designated for data center development. The decision follows setbacks and a strategic review of expansion plans.

Northvolt, the lithium-ion battery manufacturer, has announced the sale of an industrial site in central Sweden. The divestiture comes as part of a strategic review of its growth plans, initially aimed at expansion. The site, acquired last year, was intended to become a major production hub.

The Borlange municipality will purchase the site for 500 million Swedish crowns ($49 million), and a portion of it will be further sold to a company planning to build data centers. This development follows a series of setbacks, including production delays and a canceled order from BMW.

Northvolt's materials unit chief, Emma Nehrenheim, thanked the municipality for its constructive cooperation leading to this agreement. The company remains committed to refocusing its strategic expansion plans to better meet future challenges.

(With inputs from agencies.)