Lyten steps up again to buy Northvolt’s $5 billion battery empire in Sweden and Germany

US lithium-sulfur battery manufacturer Lyten has agreed to acquire Northvolt’s remaining assets in Sweden and Germany, in a deal that underscores the growing role of US capital in Europe’s battery sector.

The acquisition covers Northvolt Ett and Ett Expansion in Skellefteå, Northvolt Labs in Västerås, and Northvolt Drei in Heide, as well as all remaining Northvolt intellectual property. Multiple members of Northvolt’s executive team are expected to join Lyten. Financial terms were not disclosed.

The portfolio, previously valued at around USD $5 billion, adds 16 GWh of operational manufacturing capacity and more than 15 GWh under construction. Lyten says the sites have the infrastructure to scale beyond 100 GWh. The Västerås facility is described as the largest battery R&D centre in Europe.

Operations at Northvolt Ett and Northvolt Labs are planned to restart upon closing, with rehiring prioritized for former Northvolt staff.

Swedish Deputy Prime Minister Ebba Busch called the agreement “a win for Sweden, for the former employees of Northvolt, and for positioning Sweden as key to Europe’s energy independence. We have been working closely with the Trustee and Lyten to fully support this deal and we are excited to work with Lyten moving forward to make good on the immense potential of these assets.”

The agreement also keeps the Northvolt Drei project on track, targeting 15 GWh of initial capacity in Schleswig-Holstein. In parallel, Lyten is pursuing the acquisition of Northvolt Six in Quebec, Canada, a 15 GWh site under construction. In its press release, Lyten said it has “expressed interest” in acquiring Northvolt Six.

This is Lyten’s fourth Northvolt-related purchase in less than a year. In November 2024, it acquired Northvolt’s Cuberg operation in California. In July 2025, it announced the acquisition of Northvolt Dwa, Europe’s largest battery storage manufacturing site in Gdansk, Poland at 6 GWh, a deal expected to close this month. Later that month, and just weeks ago, it bought Northvolt’s BESS product and IP portfolio after raising $200 million.

The move paints a stark picture of a lack of European capital and patience for large-scale hardware manufacturing, as US-backed firms have moved in to acquire strategic assets. Lyten’s expansion also positions lithium-sulfur technology in facilities originally developed for lithium-ion, reshaping battery production and technology, particularly in Europe.

Lyten chairman and co-founder Lars Herlitz framed the deal as a win for energy independence in North America and Europe, saying “The combination of Northvolt’s world-class manufacturing assets and low-cost clean energy, Lyten’s world-leading lithium-sulfur battery technology, and Lyten’s abundant US battery materials supply chain creates the right formula to fulfill Europe and North America’s battery manufacturing ambitions.”

Lyten manufactures lithium-sulfur batteries in Silicon Valley, with current sales to the drone and defence markets, and a planned demonstration aboard the International Space Station later this year. The company has stated it holds a multi-billion-dollar sales pipeline for BESS products.

The Swedish and German transactions are expected to close in the fourth quarter of 2025, subject to regulatory approval in Sweden, Germany, and the EU.

A press conference is scheduled in Skellefteå on August 8 at 10:30AM CET, with a livestream available online.