Norway’s Hydro (NHY.OL) announced on Monday that it has agreed to acquire the remaining shares in battery recycler Hydrovolt from Swedish electric vehicle battery maker Northvolt for 78 million Norwegian crowns ($6.79 million). This deal will increase Hydro’s stake in Hydrovolt to 100%, up from the 72% it held previously.
Hydro’s move comes after it raised its stake in the joint venture Hydrovolt in October, with Northvolt facing financial challenges, including Chapter 11 bankruptcy protection in the U.S. since November.
As part of the acquisition, Hydro stated it is looking for new partnerships to secure long-term financing and support Hydrovolt’s growth. Despite this, Hydrovolt and Northvolt’s battery recycling plant, Revolt, will continue their commercial collaboration.
Hydro expects to finalize the deal by the end of the quarter, pending court approval in line with Northvolt’s Chapter 11 process. Northvolt, once seen as Europe’s leading electric-vehicle battery manufacturer, is currently restructuring in an effort to address financial difficulties stemming from production issues, the loss of a major customer contract, and funding shortages.
