Proterra and Proterra Operating Co., headquartered in Burlingame, Calif., a manufacturer of zero-emission electric transit vehicles and electric vehicle technology solutions for commercial applications, are in a voluntary Chapter 11 bankruptcy process. Volvo Group, Gothenburg, Sweden, has been selected as the winning bidder in an auction for the business and assets of the Proterra Powered business unit at a purchase price of US$210 million.
The transaction between Proterra and Proterra Operating Co. as sellers and Volvo is subject to approval by the bankruptcy court in the U.S. The closing of the transaction, which is expected early 2024, will be subject to merger clearance and certain other conditions.
The assets to be acquired include a development center for battery modules and packs in California and an assembly factory in South Carolina. With this acquisition, Volvo Group said it will complement the current, and accelerate its future, battery-electric road map.
The Volvo Group said the transaction has no material impact on its financial performance.