Northvolt AB, a leading Swedish electric car battery manufacturer, has taken a significant step towards securing its future by filing for bankruptcy in Sweden.

The company, facing financial hurdles, announced on Wednesday that it was compelled to file for bankruptcy to ensure a sustainable financial and operational future. "The inability to secure the necessary financial conditions to continue operations in its current form led to this decision," stated Northvolt. The process will be overseen by a Swedish court-appointed trustee, who will manage the sale of the business and its assets, as well as the settlement of outstanding obligations.

Northvolt is committed to working closely with all relevant parties to facilitate this process and to provide support to its over 5,000 employees during this transition. This move follows Northvolt's previous filing for Chapter 11 bankruptcy protection in the United States in November, aimed at restructuring its debt. The company also saw a change in leadership with the resignation of CEO Peter Carlsson following the bankruptcy filing in the U.S.