This sector is promising for province’s economic development, says CDPQ
The Caisse de dépôt et placement du Québec (CDPQ) has announced an investment of approximately $150 million in Northvolt AB, an integrated battery platform specializing in sustainable battery cell research and development, manufacturing, and recycling. The financing, structured as convertible debt in its Sweden-based parent company, is earmarked for advancing the Northvolt Six project in Québec.
“The battery value chain is a high-interest sector for CDPQ, and with a favorable impact on the energy transition, we believe it will experience strong growth over the next decade, which we expect will benefit our depositors. This sector is promising for Québec's economic development, and we want to contribute to that,” says Kim Thomassin, executive vice-president and head of Québec at CDPQ.
Northvolt, with proven technology endorsed by major sustainable mobility manufacturers, currently operates Europe's first gigafactory in Sweden. The company is actively pursuing additional projects to expand its footprint in Europe, including the recently announced venture in Québec.
“CDPQ has been involved in the process for several months, actively contributing in establishing our future plant in Québec. We are delighted to partner with such a major, long-term institutional investor that is committed to Québec's economic and energy development,” says Paolo Cerruti, co-founder of Northvolt and CEO at Northvolt North America.
The groundwork for the construction of the Northvolt Six facility, a fully integrated battery factory located in Saint-Basile-le-Grand and McMasterville and just outside of Montréal, is slated to commence by the end of 2023.
