Latham & Watkins Advises OMERS on Northvolt’s US$2.75 Billion Funding Round

Cross-practice team counsels on deal financing further battery cell capacity and expanding Nothvolt’s Swedish gigafactory to 60 GWh.

June 10, 2021

Latham & Watkins advised OMERS, one of Canada’s largest defined benefit pension plans, as it co-led a US$2.75 billion private placement in Northvolt. The funding round is Nothvolt’s biggest to date and will finance further battery cell production capacity and Northvolt’s R&D efforts in order to meet the increasing demand of customers engaged in the transition to decarbonized, electric solutions.

The private placement was co-led by new investors OMERS and AP funds 1-4, via the co-owned company, 4 to 1 Investments, alongside existing investors Goldman Sachs Asset Management and Volkswagen Group. Also participating in the equity raise were current owners AMF, ATP, Baillie Gifford, Baron Capital Group, Bridford Investments Limited, Compagnia di San Paolo through Fondaco Growth, Cristina Stenbeck, Daniel Ek, IMAS Foundation, EIT InnoEnergy, Norrsken VC, PCS Holding, Scania, and Stena Metall Finans.

Including the private placement, Northvolt has now raised more than US$6.5 billion in equity and debt to enable an expansion plan leading up to and beyond 150 GWh of deployed annual production capacity in Europe by 2030.

The Latham team was led by London corporate partner Mike Turner with associates Alex McCarney and Daria Les. Advice on employment matters was provided by London partner Catherine Drinnan and associate Adam Ray; on ESG matters by London partner Paul Davies and counsel Michael Green; on competition matters by Washington D.C., partner James Barker and associate Stephanie Adams; and on data privacy by associate Calum Docherty.

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