State of Schleswig-Holstein releases millions for Northvolt merger!

State of Schleswig-Holstein releases millions for Northvolt merger!

In the last few weeks, a real drama has emerged surrounding the insolvent battery manufacturer Northvolt. What will become of the locations in Lohe-Rickelshof and Norderwöhrden in the Dithmarschen district? Schleswig-Holstein's government is doing everything it can to prevent the insolvency of Northvolt's German subsidiary and to set the course for a possible new beginning. According to [ndr.de]. The aim is to keep the company liquid until it is taken over by the US manufacturer Lyten.

So far, Northvolt has invested around 336 million euros, and the federal government and the state of Schleswig-Holstein have provided a total loan of 600 million euros, of which around 264 million euros are still blocked. The decision on the release of these funds ultimately falls to the federal government. A spokeswoman for the Federal Ministry for Economic Affairs and Energy was unable to provide any specific information about the financial support measures for legal reasons.

Lyten takes over Northvolt

Lyten's takeover of Northvolt, which began in November 2024 with the purchase of a large factory in California, represents an important turning point. Tagesschau.de reported that Lyten will take over all of Northvolt's remaining locations, including the planned factory in Schleswig-Holstein near Heide. This takeover could also be the key to repaying the 50 percent guarantee given to the federal and state governments for the 600 million euro loan.

The insolvency of Northvolt in March 2025, which was due to high debts and numerous setbacks, threatened Germany with losing a lot of funding. To avert this, the state government is relying on a quick clarification of the financial situation, as Lyten plans to take over all of Northvolt's assets, including the main factory in Skellefteå, Sweden, and the Northvolt Labs development center in Västerås. These assets are valued at around $5 billion.

A little hope on the horizon

The state government has high hopes that the 75 million euros will be enough to keep Northvolt liquid until the takeover. This measure could secure 189 million euros, which also offers the prospect of repayment to the Kreditanstalt für Wiederaufbau after bankruptcy. Especially in the current situation, everyone involved and the federal government must work together to ensure a smooth takeover.

Prime Minister Daniel Günther sees the preliminary agreement with Lyten as a positive development, but at the same time warns of the challenges that still need to be overcome. The next few months will be crucial in securing the future of the battery manufacturer and the associated jobs in Schleswig-Holstein.