BRUSSELS (dpa-AFX) - Sweden's Northvolt AB on Tuesday announced that one of its subsidiaries, Northvolt Ett Expansion AB, has filed for bankruptcy, following a decision to suspend the Northvolt Ett Expansion project.
Northvolt Ett Expansion, which has no direct employees and is managing the construction project, filed an application for bankruptcy at the District Court of Stockholm. The application was filed due to the financial situation of Ett Expansion AB.
Since announcing the suspension of the Ett expansion project on September 23 as part of the Northvolt Group's rescoping of operations in Sweden, all work at the expansion project has been suspended.
'All contacts with Ett Expansion AB will from now on be managed by the bankruptcy trustee. Northvolt Group continues to be in dialogue with stakeholders for continued cooperation within Northvolt Group's ongoing operations,' Northvolt said in a statement.
The Northvolt unit had been responsible for a planned tripling of capacity at the group's gigafactory in northern Sweden, but its board last month canceled the project.
Ett Expansion AB is one of over 20 different entities within the Northvolt Group and the application for bankruptcy does not relate to any of the other legal entities in the wider Northvolt Group.
Looking forward, the Northvolt Group is concentrating its resources towards accelerating production in large-scale cell manufacturing within the fully-built, first phase of Northvolt Ett and delivering on commitments to its automotive customers.
Copyright(c) 2024 RTTNews.com. All Rights Reserved
Copyright RTT News/dpa-AFX
© 2024 AFX News
