Scania's Strategic Move: Acquiring Northvolt's Profitable Asset Amid Bankruptcy

Scania plans to acquire the profitable arm of bankrupt Northvolt for $6 million. Despite an alternative higher bid, Northvolt opted for Scania's offer due to urgent cash needs. The acquisition involves taking on all related debts and liabilities, continuing operations under new ownership.

Truckmaker Scania announced its intent to purchase the profitable section of Northvolt, a bankrupt battery manufacturer, for $6 million, reaffirming earlier reports.

Northvolt, heralded as Europe's contender against major Asian electric vehicle battery producers, declared bankruptcy, suspending any potential asset sales. In efforts to sustain its core operations, the Swedish company had tried selling non-core businesses.

Despite a slightly higher bid from a consortium, Northvolt leaned on Scania's offer for its swift financial infusion. This transaction, originally slated for discussion in early March, has faced delays due to the ongoing bankruptcy proceedings.

(With inputs from agencies.)