Northvolt's Bankruptcy: A Shocking Turn for the EV Battery Pioneer

Swedish battery maker Northvolt seeks Chapter 11 protection in the U.S. due to $5.8 billion debt against a meager $30 million cash reserve. Significant creditors include Volta, Volkswagen, and Goldman Sachs. Various secured and unsecured debt facilities outline the company's complex financial entanglements.

Northvolt, the Swedish electric vehicle (EV) battery cell manufacturer, has filed for Chapter 11 bankruptcy protection in the United States. The company, burdened with a $5.8 billion debt, holds only $30 million in cash.

The bankruptcy filing sheds light on Northvolt's creditors and outstanding principal amounts. The list reveals unsecured debt facilities of $3.9 billion, including a $2.76 billion convertible instrument with Volta, due in 2027.

Key stakeholders, such as Volkswagen and Goldman Sachs, feature prominently among Northvolt's unsecured creditors. The filing highlights the challenges facing Northvolt as it attempts to navigate its way through financial instability.

(With inputs from agencies.)