Breaking: Scania acquires battery unit from Northvolt

In December last year, Impact Loop reported that Scania was poised to acquire Northvolt Systems – one of the more successful subsidiaries of battery maker Northvolt.

But the deal stalled after Northvolt AB filed for bankruptcy before the acquisition could be completed. A separate insolvency filing was also made for Northvolt Systems, plunging the proposed transaction into uncertainty.

Peter Carlsson, founder and former CEO of Northvolt, confirmed to Impact Loop that the deal had not closed before the bankruptcy process began, leaving its future unclear.

The deal is done

Scania has now confirmed to Impact Loop that it has secured a deal to acquire the “Industrial” division of Northvolt Systems – one of three business units within the company. The division specialises in developing and producing battery systems for heavy-duty industrial machinery and construction equipment.

The purchase price remains undisclosed.

"Northvolt Systems' Industrial division brings valuable expertise in battery technology and assembly. Their capabilities bolster our modular approach and support the development of complete electrified solutions for off-road applications," said Sara Hermansson, Head of Scania Power Solutions, in a press release.

Set to run independently

The acquisition covers roughly 260 employees across two sites — a manufacturing facility in Gdańsk, Poland, and a prototype plant in Tomteboda, Stockholm.

The move is aimed at bolstering Scania’s Power Solutions arm, which focuses on engines for a range of industrial and marine use cases.

"By combining the battery expertise of Northvolt Systems’ Industrial division with Scania’s industry knowledge, we’re driving innovation and positioning ourselves for future growth," said Jonas Hernlund, Head of Energy & Infrastructure at Scania Ventures and New Business.

Under the terms of the deal, the Industrial division will continue to operate as a standalone business within the Scania group.