KIEL (dpa-AFX) - Discussions between the federal government, KfW, and the state with Lyten regarding the planned takeover of the German subsidiary of the insolvent Swedish battery manufacturer Northvolt are ongoing. The US company continues to express strong interest in entering the project, said State Secretary for Economic Affairs Julia Carstens (CDU) in the state parliament's economic committee. "But I can't really provide you with anything more concrete, because we don't have anything more specific at this time," she added.
Most recently, Lyten announced it was aiming to finalize the acquisition by the end of the first quarter. Originally, the signing of the final contract was expected to take place by the end of 2025. Northvolt had initially planned to build a battery factory in Heide, creating around 3,000 jobs, but has since become insolvent. As a result, Lyten is now negotiating the construction of a significantly smaller battery production facility at the same location.
Criticism from Lawmakers
SSW economic policy spokesperson Sybilla Nitsch asked representatives of the state government how they assess Lyten's plans. She noted that the obligation to conduct risk assessments does not rest solely with the federal government. After all, the German Northvolt subsidiary to be acquired was financed with taxpayer money.
Northvolt had received a convertible bond of around 600 million euros from the state development bank KfW for the planned factory in Heide. The federal government and the state each guaranteed half of the amount. Part of the funds was used by Northvolt for construction or purchases. However, more than 200 million euros of the money is believed to remain.
Carstens emphasized that securing the remaining funds from the convertible bond and the takeover of the Northvolt subsidiary are two completely separate processes. State Chancellery official Dirk Schrödter (CDU) added, "We should first be glad and grateful that there is an investor willing to make an investment there." He also noted that the company has not yet raised the issue of requesting subsidies.
For SPD economic policy spokesman Kianusch Stender, there is no separation between the two processes. "300 million euros of Schleswig-Holstein taxpayer money have been sunk into this project." Economics Minister Claus Ruhe Madsen (CDU) has stated that the money is not lost, but rather has been invested in the site. "On the construction site that Lyten now wants to take over. That is the direct connection," he said./akl/DP/mis
