(Bloomberg) -- Sweden’s Northvolt AB paid a tax bill that fell due on Monday, a spokesman for the troubled battery maker said, meeting a closely watched deadline as the company scrambles to raise more funding.
The taxes due, reported to total 287 million Swedish kronor ($27.6 million), represented the latest test of viability for the company, which is battling a liquidity crisis after a rapid expansion drained cash.
To alleviate the crunch, Northvolt is seeking about €200 million ($218 million) in funding, according to people familiar with the matter. The electric vehicle supplier met with various stakeholders last week, and secured verbal agreements for about €150 million of that amount, Bloomberg News reported.
The Swedish Tax Agency said it was unable to confirm any payment as tax account records aren’t public.
Northvolt has struggled to ramp up battery cell production at its main plant near the Arctic Circle in Sweden, constricting revenue while costs from its expansion piled up.
The company has scaled back major projects in recent weeks and narrowed its focus to increasing output at the main plant. One of its units sought bankruptcy protection last week as the firm strives to find a longer-term funding solution.
The effects of the crisis continue to ripple out across Skelleftea, where the main factory is located. Stena Recycling AB said Friday that it was laying off 60 workers in the town.
--With assistance from Niclas Rolander.
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