On the 1st February 2024 Volvo announced it has completed the acquisition of battery business from Proterra. The intention was announced in November 2023, when Volvo Group had been selected as the highest bidder in an auction for the business and assets of the Proterra Powered unit.
Volvo states in a press note that it “intends to run Proterra as a going concern and deliver to selected customers”.
Proterra battery business becomes part of Volvo Group
In August 2023 Proterra filed for Chapter 11 bankruptcy protection. Phoenix Motorcars‘s bid has win the tender to acquire Proterra Transit business line.
Volvo acquisition of Proterra battery business, which was made at a purchase price of USD 210M before adjustment for inventory level at closing, includes a development center for battery modules and packs in California and an assembly factory in Greer, South Carolina.
Proterra stated in a Linkedin post: “We proudly bring more than 400 of our Proterra teammates to carry the same innovative spirit that has helped transform commercial vehicle electrification through our industry-leading battery technology. As a standalone, independent business operating as Proterra within Volvo Group, our mission remains steadfastly committed to building innovative battery technology to power a better, more sustainable world”.
It’s worth noticing an apparent contradiction between Proterra stressing their business remaining “independent” and Volvo’s statement about the intention to deliver “to selected customers”.
“These assets and the skills and competence of the Proterra team are a great complement to our current footprint and enables us to accelerate our battery-electric roadmap even further,” says Lars Stenqvist, CTO Volvo Group.