Northvolt Stock: Will the Swedish Battery Maker IPO Next Year?

Image of a Northvolt manufacturing plan. Report indicates that Northvolt stock could start trading in 2022 or 2023.

Explore ways to buy Northvolt stock as the IPO approaches. Get access to select pre-IPO startups at Equitybee.

Northvolt Stock and IPO Recent News

09/12/2023: Quebec could put $1.4 billion into the Northvolt factory 08/22/2023: Northvolt raises $1.2 billion (convertible note) 07/01/2023: Northvolt Close to Choosing Montreal For $5.3 B Factory 07/01/2023: Northvolt wants to rival China’s battery dominance 06/20/2023: Canadian pensions manager invests $400 million in Northvolt 05/12/2023: Northvolt to invest billions in gigafactory in Germany Older news (20+ more articles)…

What is Northvolt?

Northvolt is a Swedish design and manufacturing company producing lithium-ion batteries in Europe for a more sustainable energy storage future.

The company’s primary target is automotive battery applications (cars and charging stations), but it also produces products for grid storage, industrial applications, and portable devices (e.g., tools, e-bicycles).

Founded by former Tesla executive Peter Carlsson, Northvolt aims to support global electric vehicle expansion in the coming decades.

It seeks to enhance the global automotive battery supply in competition with Asia and North American manufacturers by scaling battery manufacturing in Europe.

In December 2021, Northvolt produced the first European-designed and manufactured lithium-ion battery for electric vehicles in its gigafactory in Skellefteå, northern Sweden.

A second gigafactory is under construction in Salzgitter, Germany, in partnership with Volkswagen, and a third is slated to be built in Heide, Schleswig-Holstein, Germany.

The company was founded in 2016 with a mission to build the world’s greenest battery to enable the European transition to renewable energy.

Is Northvolt Publicly Traded?

No.

Northvolt AB (legal name) is a private limited liability company.

AB stands for “Aktiebolag,” which means limited company or corporation.

Who Owns Northvolt?

Northvolt is a venture-backed technology startup. Its investors include the founders, employees, venture capital firms, car companies, and industrial conglomerate companies.

The company has conducted several equity raises and debt financing rounds. Northvolt has raised more than $9 billion in debt and equity to fuel expansion and production capacity.

Northvolt has also secured more than $55 billion in product contracts from customers such as BMW and Volkswagen.

Investors include BlackRock, Siemens, Volkswagen, Goldman Sachs, BMW, AMF, Folsam, IMAS Foundation, ATP, Baillie Gifford, Baron Capital Group, Bridford Investments Limited, Compagnia di San Paolo through Fondaco Growth, EIT InnoEnergy, Norrsken VC, PCS Holding, Scania, Stena Metall Finans, Cristina Stenbeck, Daniel Ek (of Spotify), Canada Pension Plan, Ontario Municipal Employees Retirement System, and Investment Management Corporation of Ontario.

The company has also secured debt financing from various banks and government entities. The Financial Times reported in late-March 2023 that the company is seeking to secure an additional $5 billion in debt financing in 2023.

As reported in August 2023, the company raised $1.2 billion in convertible debt financing.

To further expand its mission, Northvolt created a joint venture called Hydrovolt with Hydro, a Norwegian energy and aluminum company.

Hydrovolt was created to build a sustainable battery recycling capacity in Europe, akin to Redwood Materials in the U.S. Battery recycling will strengthen global supply chains alongside new mining capacity from next-generation miners like KoBold Metals to meet the growing demand for metals in EV batteries.

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Northvolt is positioning itself to enable European vehicle electrification by producing and recycling batteries.

What is the Northvolt Stock Symbol? Northvolt Ticker?

Northvolt is still a private company, so there is no Northvolt stock symbol yet.

If the company decides to IPO in the U.S., here are a few Northvolt ticker suggestions that appear to be available.

  • NV
  • NVLT

What is the Northvolt Stock Price?

There is no public Northvolt stock price yet. The company is private.

Private stock price information is becoming more available and reliable based on pre-IPO marketplace data and other sources.

However, the stock price is only the value of one share. Like public companies, the underlying valuation metrics, revenue, profitability, and market sentiment toward private companies are more significant factors than the share price.

When is the Northvolt IPO Date?

Reuters reported in February 2023 that Northvolt was close to hiring a bank to commence the process toward an IPO.

In an interview in June 2022, Northvolt Chairman, Carl-Erik Lagercrantz, stated the company is likely to seek an IPO in the next two years.

This confirms reporting by the German media outlet, Manager Magazin, in July 2021 that Northvolt was pursuing an IPO.

July 2021 was one of the most robust IPO periods in recent memory. IPO activity slowed dramatically in 2022. Many high-flying IPO stocks, including electric vehicle companies (Rivian and Lucid), have seen their share values drop significantly from their IPO prices.

When the company is serious in its pursuit of an IPO, we should start getting more news snippets of information, such as hiring an underwriter or an IPO date range estimate.

The calculus for an IPO may change with global economic uncertainty, inflation, and war in Europe.

We’ll update this web page when we learn more about the Northvolt IPO date and related news.

Northvolt Valuation

The current Northvolt valuation is estimated to be about 11 billion Euros. Talks of a potential IPO have floated a target Northvolt valuation of $20 billion. The company was reported to be hiring investment banks for an IPO.

Will Northvolt’s IPO Take Place in Europe or the U.S.?

One of Europe’s biggest IPOs over the past few years didn’t happen in Europe.

The Swedish music streaming company, Spotify, chose to launch its IPO in the U.S. on the New York Stock Exchange (NYSE).

The European think tank, Centre for European Policy Studies (CEPS), suggests that Spotify chose the U.S. over Europe for its direct listing IPO due to complicated E.U. listing rules, the lack of a single securities authority, and demanding prospectus translation requirements.

If Northvolt continues its growth trajectory, access to robust capital markets will be crucial to fund additional expansion.

Reporting by the German publication, Manager Magazin suggested a 2022 or 2023 IPO. However, IPO markets nosedived in 2022.

Considering Northvolt’s tremendous access to private market funding and demand for production capacity, private money should continue to be available.

When Northvolt conducts its IPO, the company will consider the listing requirements of both pan-European exchanges such as the Nasdaq Nordic, Euronext, and Deutsche Börse under E.U. regulation.

Switzerland’s Climeworks may face a similar decision. It will impact another Swedish startup’s destiny, the Klarna IPO. The U.K.’s largest fintech has already said it intends to conduct the Revolut IPO in the U.S.

U.S. exchanges may provide a more streamlined route to the IPO listing. The U.S retail investor appetite for electrified vehicle investments is powerful.

But considering Northvolt’s pride as a homegrown European battery company, the company could double down on its theme of European self-sufficiency through a European exchange IPO.

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U.S.-based investors could still own shares through American Depositary Receipts (ADRs).

Can You Buy Northvolt on Pre-IPO Marketplaces?

The author has not seen evidence of Northvolt stock availability on prominent pre-IPO investing platforms based in the U.S.

However, shares may become available if early investors or employees want to cash out before the IPO. This may become more likely if the company raises a fresh round of private equity capital.

The SEC requires pre-IPO investors to be accredited, meaning a net worth above $1 million (not including primary residence) or an income above $200,000 (or $300,000 with a spouse).

Avoid the accreditation hurdle by investing in a pre-IPO fund such as the ARK Venture Fund via Titan.

How to Invest in Northvolt Stock

Since Northvolt is not a public company, it is challenging to become an equity owner today.

However, you can take action to improve your chances of early equity ownership or to acquire shares in the IPO.

Otherwise, you’ll need to be patient for shares to begin trading after the IPO.

1. Acquire Northvolt on Pre-IPO investing platforms

The author has not yet seen evidence of Northvolt being available on pre-IPO platforms.

However, investors can monitor pre-IPO investing platforms for future availability.

If shares become available, expect to pay at least a $10,000 investment minimum. It’s free to sign up for access and alerts.

Many pre-IPO investing platforms, empower users to indicate interest in companies they wish to invest in.

If enough investors indicate interest in a particular company, the pre-IPO platforms may actively reach out to equity holders to try to acquire shares for accredited investors.

A few platforms have evolved to gives these individuals a way to liquidate their holding before the IPO.

Equitybee provides accredited investors access to pre-IPO startups by funding employee stock options. In exchange, investors gain a portion of the future stock value.

Other prominent pre-IPO investing platforms include Linqto, EquityZen, and Forge.

As companies mature, gain more shareholders, and delay their IPO due to macro conditions, more equity holders may seek liquidation before the IPO.

Check out our list of top pre-IPO investing platforms for current share availability. Also, look for European pre-IPO platforms that may be selling pre-IPO shares.

2. Buy during the Northvolt stock IPO through a participating broker

Savvy IPO investors may find opportunities to invest during the IPO. That means acquiring shares at the IPO price the night before the company begins trading.

Once reserved for Wall Street’s wealthiest customers, IPO access has become more attainable to retail investors in the past five years.

Online brokers such as TradeStation, SoFi, Robinhood, and Webull give customers free access to IPOs, even with low account balances.

Brokers often negotiate exclusive IPO share allocations to retail investors. Your access to specific high-demand IPOs may be limited by how many brokerage accounts you have and what broker gets exclusive access.

TradeStation and Webull have a longer track record of accessing more than 200 IPOs and secondary offerings via their partnership with ClickIPO.

Robinhood and SoFi have the advantage of Silicon Valley networks and a history of getting allocations for high-profile IPOs (e.g., Sweetgreen, Rivian).

Check out this list of best brokers for IPO investing to learn more about IPO access for retail investors.

3. Buy Northvolt stock after the Northvolt IPO

Though waiting for the IPO requires patience, there are advantages to waiting for the stock to become publicly traded before owning.

First of all, the IPO allows investors to review financials. Pre-IPO investing has limited financials available.

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Second, IPO stock prices typically rise with high-demand companies. You can benefit if you’re in early and sell when the price overheats.

Many IPOs start with an immediate price increase (“the pop”). Then the stock falls once quarterly earnings reports become available.

In 2021, both Rivian and Robinhood became high-flying IPO stocks. But six months after the IPO, both stocks were more than 80% below their price peak.

The stock price declines after the IPOs could become excellent entry points if you were not allocated IPO shares.

Avoid buying overvalued shares immediately after the IPO. Shares often fall after the IPO due to lockup expirations and quarterly earnings disappointments.

However, the most disruptive companies will be higher in a decade. Patience pays.

Where can I find the Northvolt IPO S-1 Filing?

Northvolt has not yet submitted an S-1 filing to the SEC. When the company does, we’ll share it here.

In the meantime, you can check out the most recent S-1 filings in our S-1 filings feed.

Northvolt News Archive

04/20/2023: Northvolt and Scania unveil green truck battery 04/03/2023: Northvolt shreds old batteries to make EVs sustainable 03/26/2023: [FT]Northvolt in talks to secure $5bn 03/14/2023: [FT] Northvolt is charging Europe’s battery ambitions 02/21/2023: Northvolt earmarks next quarter for U.S. factory announcement 02/16/2023: Battery maker Northvolt in talks to hire IPO banks 10/31/2022: Energy prices may delay construction of Northvolt Drei 10/26/2022: Gigafactories are recycling old EV batteries into new ones 07/22/2022: Northvolt to develop wood-based batteries for EVs 07/05/2022: Northvolt raises $1.1 billion to support factory rollout plans 06/29/2022: Northvolt confirms plans for IPO in next two years 06/29/2022: The green revolution sweeping Sweden 05/15/2022: Europe’s largest electric vehicle battery recycling plant begins operations 03/15/2022: Northvolt announces its third gigafactory will be established in Germany 12/29/2021: Northvolt assembles first lithium-ion battery cell at Swedish gigafactory 07/22/2021: Northvolt wants to go public (German language) 06/09/2021: Northvolt raises $2.75 billion in equity to deploy further battery cell capacity 09/29/2020: Northvolt raises $600 million to invest in capacity expansion, R&D, and giga-scale recycling 07/27/2020: Northvolt raises $1.6 billion in debt financing through a consortium of global financial institutions 06/01/2020: Northvolt and Hydro launch joint venture to enable electric vehicle battery recycling 06/12/2019: Northvolt completes equity capital raise to enable Europe’s first homegrown gigafactories for lithium-ion batteries 05/25/2018: Siemens and Northvolt partner in next-generation lithium-ion battery cell production

Conclusion

Investors get excited when they identify companies riding extraordinary macroeconomic trends. This can lead us to private companies positioning to profit from massive opportunities.

However, buying the stock early on can often prove difficult for retail investors.

Though pre-IPO investing platforms have opened more opportunities, private equity investing is still primarily reserved for the ultra-wealthy, requiring millions to invest in seed and early funding rounds for disruptive companies.

So if you pursue IPO shares and early equity, maintain reasonable expectations. However, if you identify several favorite IPO companies, you may eventually be able to invest in some of your target companies.

If Northvolt stock is on your radar, good luck. Invest in pre-IPO and IPO companies with caution.

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* Disclosure: The web page contains affiliate links from our partners. If a reader opens an account or buys a service from a link in this article, we may be compensated at no additional cost to the reader. Opening an account with a broker that provides access to IPOs does not guarantee the customer allocations of specific IPOs. The author is long GS, RIVN, SPOT.