U.S. battery startup Lyten has agreed to acquire most of the assets of bankrupt Swedish battery maker Northvolt, offering a new lifeline to the European company once seen as a key player in the continent’s push for energy independence.
Northvolt, which positioned itself as a rival to major Asian battery manufacturers, filed for bankruptcy in March amid financial difficulties and quality control issues.
Lyten, backed by major investors including Stellantis and FedEx, specializes in developing lithium-sulfur battery technology as a cleaner alternative to traditional lithium-ion cells.
The company plans to build on Northvolt’s legacy by restarting operations at Northvolt’s flagship plant in Skelleftea, northern Sweden, with lithium-ion battery deliveries expected to resume in 2026.
The deal also includes Northvolt’s projects in Sweden and Germany, as well as its intellectual property.
Lyten has already acquired Northvolt’s energy storage business in Poland, Europe’s largest, signalling its ambition to serve automotive, defense, and energy storage markets.
Sweden’s deputy prime minister, Ebba Busch, hailed the acquisition as a key step toward securing Europe’s energy independence.
Lyten’s acquisition marks a significant move in the European battery industry that has seen a setback over the past year.
