British EV battery producer warns it could run out of cash in months

Nyobolt, a British electric vehicle (EV) battery manufacturer has revealed that it could deplete its cash resources by the end of the first quarter, unless new funding is obtained. 

The company spun out of the University of Cambridge’s chemistry department in 2016. It focuses on ultra-fast EV charging technology, with the Nyobolt Xtreme charging an EV in 1-5 minutes. Its second solution, the Nyobolt Ultra, takes 6-10 minutes to charge an EV. 

In mid-2024, the company also launched its own EV sportscar prototype, which is being used to test its charging technology on real road conditions. With a 155 mile range, this prototype can go from 10% to 80% charge in five minutes. This was an attempt to allay new EV owners’ concerns about range, as well as charging times. 

However, Nyobolt has now hit turbulent times, having already spent approximately £50m (€60.30m) worth of investor funds in the last two years. Nyobolt completed funding rounds in 2021 and 2022. 

The company’s most recent accounts have also highlighted a 2023 loss of £20m (€24.11m), on a revenue of £67,000 (€80,802.67). These accounts were signed off in November 2024. 

Nyobolt has said that it has already secured new contracts, since the financial results were made public, which are expected to help the company continue trading after March. It has also hinted at possible new funding sources in the future.

A spokesman said, as reported by The Telegraph: “In 2024, Nyobolt started earning revenues from customers and had contracts valued over $120m (€116.09m). We will be announcing further contracts in the first quarter of 2025. 

“Looking ahead, we continue to raise funds with both current and strategic investors, with the next round closing imminently, which will see us through 2025 and into profitability.”

UK battery industry continues to struggle against Chinese rivals

Nyobolt has become the latest British EV battery maker to struggle to raise funds in an increasingly competitive international market. Back in January 2023, Britishvolt, another important UK battery maker, fell into administration due to funding woes, dealing a significant blow to the country’s EV ambitions. 

Rising competition from Chinese EV and battery makers, who are often heavily subsidised by the Chinese government, has also contributed considerably to the UK’s domestic battery makers taking longer to find a foothold in the market. 

This phenomena is also being seen in other parts of Europe, with companies like Sweden-based Northvolt filing for Chapter 11 bankruptcy in the US back in November 2024. 

The current economic environment, with higher interest rates and inflation, in several parts of the world, have also made investors warier of risking their funds.

This is especially being seen for more innovative tech companies, which may often require several years of research and high funding, before being able to turn a profit.