Britishvolt heads for crunch meeting

Britishvolt heads for crunch meeting

Business news |
By Nick Flaherty

UK battery gigafactory developer Britishvolt is holding a key board meeting tomorrow (Friday 13th January) that will determine the future of the business.

The struggling startup had avoided calling in administrators in December, and has reportedly received a deal to rescue the company from a little know investment company with links to Indonesia.

The £30m offer values the operations, which include a pilot line in the West Midlands and a site at Blyth in Northumberland, at just £32m, a small fraction of the previous valuations of over £1bn.

If successful, the offer from the DeaLab Group would see £128m of funding to continue development of battery cells at the pilot line to be tested by customers. This would aim to unlock £100m of additional grant funding from the UK government to start building the factory in Blyth.

However a group of current investors are tabling a rival bid with similar amounts to be discussed at the board meeting.

The company has struggled to gain commitments from car makers for its battery cells without tested samples. In November it raised £5m from existing shareholder, mining firm Glencore, to continue operations in the short term.

It said it was in talks to sell a majority of the business, and would provide further details at the appropriate time.

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