Battery manufacturer Northvolt has secured the largest investment to date from Canadian pension fund IMCO, with a total of $400 million (SEK 4.3 billion) investment injected into the company.

Northvolt’s appeal to investors continues to grow as the world undergoes a shift toward electric power. The company recognizes the long-term potential of battery manufacturing as

an attractive investment opportunity.

In the past, Northvolt has already secured funding from renowned companies like BMW and Volkswagen. The battery manufacturer has over $8 billion (SEK 86 billion) in capital since 2017.

There have been rumors for some time that Northvolt is considering setting up a battery factory in North America. Canada and the province of Quebec have been mentioned as a possible location. However, whether the recent investment from IMCO is connected to these rumored plans is unknown.

Despite the substantial financial support it received thus far, Northvolt requires additional capital to fulfill its ambition of becoming Europe’s leading battery manufacturer.

The company has commenced production at its Northvolt Ett factory in Skellefteå and plans to open another factory in Gothenburg in collaboration with Volvo by 2025.

Northvolt Gains Approval for German Factory

Northvolt has also received approval for state aid to establish a factory in northern Germany. This approval further signifies the company’s commitment to moving forward with its plans for a facility in that region since its presentation last spring. The specific financial details have yet to be disclosed.

During an interview with Dagens Nyheter, Northvolt CEO Peter Carlsson disclosed that the German factory will specialize in producing cylindrical cells.

As of late, only Tesla employs cylindrical cells. However, BMW intends to adopt them in 2025 with the introduction of their next-generation electric vehicles, known as Neue Klasse.

Carlsson also revealed that the decision to manufacture cylindrical cells would result in changes and delays to the plans for the Borlänge factory.

Instead of producing battery cells at that location, it will focus on manufacturing active cathode material to be used at other Northvolt factories.

The Borlänge factory, scheduled to be operational by 2024, is now anticipated to begin operations around 2026-2027.


Northvolt AB is a Swedish battery developer and manufacturer, specialising in lithium-ion technology for electric vehicles. (wikipedia)