Volvo Group has been selected as the winning bidder in an auction for the business and assets of the Proterra Powered EV battery business unit at a purchase price of $ 210 million. Proterra Inc. and Proterra Operating Company Inc. are in a voluntary Chapter 11 bankruptcy process in the US.
The closing of the transaction is expected early 2024.
The company says the transaction has no material impact on the Volvo Group financial performance.
It voluntarily filed for Chapter 11 protection in August, 2023, an effort to strengthen its financial position through a recapitalisation.
In a press statement, Volvo Group says: ‘The assets to be acquired include a development center for battery modules and packs in California and an assembly factory in South Carolina. With this acquisition, Volvo Group will complement the current, and accelerate its future, battery-electric road map’.
The Volvo Group is headquartered in Gothenburg, Sweden, employs more than 100,000 people and serves customers in almost 190 markets. In 2022, net sales amounted to SEK 473 billion (EUR 45 billion).