News / Volta Trucks 'back in the game' after new owner steps up

Image: Volta

Sweden-based electric HGV developer Volta Trucks is returning to the market after going into administration in October.  

In March 2023, Volta Group confirmed it was in advanced discussions with investors to raise up to €250m, set to be the final equity raise ahead of a potential initial public offering this year.

But the fundraiser stalled when Volta’s sole battery supplier, Proterra, entered a Chapter 11 process in the US, which had “an adverse impact on the planned launch date and increased the forecast funding requirement”. 

That, in turn, led to “less appetite from investors and lenders to introduce further funding… which led to the company facing a liquidity shortfall”. 

The administrator said: “As the trucks were in development stage and had yet to generate revenue, both the group and the company have been loss-making since incorporation.” 

Volta Trucks employed 649 people in the UK, Italy and Austria; 531 were made redundant and 118 kept on “to assist sale processes and preserve value in the core areas of the business”.  

However, a sale of the company has been agreed in the administration process, meaning Volta’s electric trucks will be rolled out in Europe.  

According to the administrator, 46 parties, including the main OEMs in the sector, entered into non-disclosure agreements to allow access to an online data room, and 18 parties received management presentations. This led to indicative offers from six of them. 

“However, each offer had significant conditionality attached, given the uncertainties around the supply chain and the key assets held in other group entities,” the administrator said.  

“We agreed to proceed with an offer made by Volta Commercial Vehicles Ltd (VCVL), an entity owned by Luxor, on the basis that it provided the greatest certainty regarding delivery and had the shortest timescale for completion.” 

VCVL was incorporated on 8 November and parent Luxor had a 37.7% share in Volta Trucks, the ultimate parent company of the group. Two VCVL directors are also board members of Volta Trucks. 

The sale went ahead on 30 November for £2.2m: £1.2m for intellectual property rights; £800,000 for stock and work in progress; and £200,000 for “loose chattels and equipment”. 

Volta’s remaining employees will transfer to the purchaser and a continuation of trade “will allow suppliers to mitigate losses”. 

The former director of business development at Volta Trucks said on social media that Volta Trucks was “back in the game”, adding: “We have been silent. But we have been working hard in the background. Volta Trucks ‘Phoenix Project’ is happening right now, and we will share our plans soon… stay tuned.”