Britishvolt has been given a reprieve from entering administration after the automotive battery startup secured last-gasp funding to avoid collapse, according to reports.
The firm’s survival was left in the balance after the government rejected Britishvolt’s request for an advance of £30m in committed funds, leaving the company looking at “several potential scenarios”.
Britishvolt has now received new funding for the “short to medium term” from one or more unknown backers, the BBC reported, citing sources close to the talks.
A Britishvolt spokesperson pointed UKTN to the BBC’s story and said there will be more clarification later this week.
Yesterday the spokesperson told UKTN: “We are aware of market speculation. We are actively working on several potential scenarios that offer the required stability. We have no further comment at this time.”
The fresh funding gives a lifeline to Britishvolt’s £3.8bn battery “gigafactory” in Northumberland, which is predicted to create 3,000 jobs.
Britishvolt has yet to bring in revenue and has raised more than $2bn in a combination of debt financing, venture funding and public grants. Britishvolt has struck partnerships with Aston Martin and Lotus to develop batteries to be used in the automakers’ electric vehicles.
In August the battery maker said it would delay its battery production by six months to a new deadline of mid-2025 amid soaring energy costs and the company founder, Orral Nadjari, stepping down as CEO.
Plans for a £200m battery scale-up facility in the West Midlands for research were unveiled earlier this year.