Britishvolt, the leading UK electric car battery manufacturer, is currently engaging in negotiations to sell a majority stake in the company as it strives to secure a vital rescue deal.
The innovative startup has stated that it is “in discussions with a consortium of investors regarding the potential of a majority sale of the company”.
Britishvolt, which narrowly averted administration last year by securing last-minute funding from investors, has ambitious plans to construct a state-of-the-art £3.8bn gigafactory in Northumberland.
This project has been endorsed and supported by former Prime Minister Boris Johnson, with the government having allocated £100m towards its funding; however, the investment is yet to be released.
In November, Britishvolt sought to access up to £30m in funding from the taxpayer ahead of schedule but was denied. Fortunately, the company managed to secure additional funding from private investors to maintain its operations, with executives and staff willingly accepting pay reductions.
Two years ago, Britishvolt had expressed optimism about its potential for an initial public offering (IPO), but it has encountered difficulties in meeting its objectives. The construction of its site has been considerably delayed, and the company was shaken by the departure of its founder and CEO last year.
Britishvolt has stated that its discussions with investors are aimed at ensuring the “long-term sustainability and funding required to pursue its current plans of establishing a robust and successful battery cell R&D and manufacturing business in the UK”. The specific identities of the potential investors have not been disclosed.
Furthermore, other investors have been examining Britishvolt’s Blyth site. Competing battery manufacturers, such as Slovakia’s Inobat, led by former Aston Martin CEO Andy Palmer, have shown interest in the location should Britishvolt face collapse.
Real estate funding for the site is anticipated to be provided by fund manager Abrdn, although it has not directly invested in Britishvolt. The funding is contingent upon Britishvolt meeting certain milestones.
Denial of responsibility! VigourTimes is an automatic aggregator of Global media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, and all materials to their authors. For any complaint, please reach us at – [email protected]. We will take necessary action within 24 hours.
