Swedish manufacturing giant Volvo Group will acquire the battery business of bankrupt American electric vehicle (EV) and powertrain manufacture Proterra in a deal worth $US210 million.
Founded back in 2004, Proterra was once a leading electric transit bus manufacturer before it diversified to develop its own battery technology and powertrains in 2015.
However, as with a number of smaller EV-focused companies, recent supply chain constraints and financial difficulties have forced many into bankruptcy, as happened to Proterra back in August – a decision which also led in part to Swedish electric truck start-up Volta Trucks being also forced to file for bankruptcy in October.
Proterra announced late last week that it had concluded its Chapter 11 sales process, with Volvo Group’s Volvo Battery Solutions winning the bid to acquire its Proterra Powered business unit.
The acquisition, worth $US210 million will see Volvo Battery Solutions acquire a battery development centre in California and an assembly factory in South California.
“We entered into the Chapter 11 process with a mission to maximize the potential of each of our product lines,” said Gareth Joyce, Proterra CEO.
“Today, we have taken an important step towards that goal for our Proterra Powered business.”
Volvo’s acquisition is subject to the bankruptcy court’s approval, as well as regulatory approvals and closing conditions.
Joshua S. Hill is a Melbourne-based journalist who has been writing about climate change, clean technology, and electric vehicles for over 15 years. He has been reporting on electric vehicles and clean technologies for Renew Economy and The Driven since 2012. His preferred mode of transport is his feet.
Tom from Ludicrous Feed discusses what we know so far about the Australian approval of…
An Australian start-up promising lighter batteries and longer range from sulphur-based chemistries lands ARENA funding…
Australia’s Capital Territory is celebrating a significant electric vehicle (EV) milestone, announcing last week that…
If you are looking for a dual sport all electric motorcycle in Australia, nothing beats…
2025 could be the year when EV uptake in Australia crosses the chasm from early…
Geely launches Australian website with expression of interest open to buyers looking at an electric…