Battery company Litarion, which Electrovaya had set up in Germany, is now completely bankrupt. Insolvency had proceeded for some time but with their premises having been seized by Daimler’s Li-Tec and investors exiting, Litarion has no way to go on any longer.
Litarion had started their “voluntary structured insolvency process” as its Canadian parent company Electrovaya called it already in January reportedly. Back then, it was the landlord, the Daimler subsidiary Li-Tec, who had pushed for outstanding payments.
Whilst negotiations for Litarion to continue using the facilities and to find new investors had been ongoing, they appear to have come to an end now. It was Daimler informing the official liquidator that investors could not agree on a deal over rent.
For Litarion this is the end of their business. Their 120 employees in the town of Kamenz will receive their notice within the next few days.
Neither Litarion nor Electrovaya have issued a statement regarding the future of existing commitments but the insolvency process continues and will not impact Electrovaya’s ability to fulfil current and future customer orders. Among Electrovaya’s customers is Walmart Canada, which placed a 4.3m order last September for drop-in li-ion battery systems to power forklifts at a distribution centre.
sz-online.de (in German)
– ADVERTISEMENT –