By Ek! Northvolt raises $600m

Nirvana’s Lithium would seem the obvious starting point for a battery playlist compiled to celebrate Spotify co-founder Daniel Ek’s contribution to a $600 million fundraising exercise by European battery manufacturer Northvolt.

Ek, who is also CEO of the music streaming service, was among the contributors in a private shares issuance by the company, the results of which were announced today.

The fundraising round was led by Glasgow-based investment manager Baillie Gifford, which comes on board as a new investor, alongside established backers Goldman Sachs, Volkswagen, the Scania Swedish truckmaker owned by the German auto giant and the IMAS Foundation – sister fund to the Stochting Ingka Foundation co-founded by Ikea founder Ingvar Kamprad.

Ek is a new face, along with Cristina Stenbeck and fellow new backers Baron Capital Group, based in New York; Jersey-based Bridford Investments Ltd; Swedish start-up funder Norrsken VC; and Swiss manufacturer PCS Holding, which produces everything from textile equipment to trolley buses.

Northvolt, which aims to have 150 GWh of annual battery manufacturing capacity operating by 2030, said it would use the cash to expand its production lines and its R&D center as well as helping to establish a battery raw material recycling fab which will help it achieve its ambition of sourcing half its battery materials from recycled devices in a decade’s time.

Northvolt said today its Northvolt Ett battery gigafactory, in Skellefteå, Sweden – which will have a “potential” capacity of 40 GWh – is due to start production next year. The company’s Northvolt Zwei facility, at Salzgitter, Germany, is set to open with a 16 GWh annual capacity in 2024.

The company is also planning a giga-scale recycling center next to Northvolt Ett which will open with a 4 GWh annual capacity and is intended to become “the largest in the world,” according to Northvolt.

Mind you, It’s A Long Way to the Top, as any self-respecting AC/DC fan would tell you…

This copy was amended on 30/09/20 to reflect the Scots-Aussie rock gods mentioned are AC/DC, not ACDC, as previously written. pv magazine apologizes for the error and AC/DC fan Max Hall is personally mortified at his elementary error.