Troubled Northvolt Sells US Battery Plant to California Startup

Northvolt AB, the cash-strapped European battery maker, reached a deal to sell its US factory to a startup that’s trying to reduce America’s reliance on China for batteries.

Lyten, a California startup developing lithium-sulfur batteries, will invest $50 million over the next several years as part of an agreement to buy battery manufacturing equipment from Northvolt, take over its building lease, and expand the facility near San Francisco to integrate it with its operations in nearby San Jose.

Northvolt, once seen as a potential rival to the Chinese firms that dominate the EV battery market, has been rushing ...