A Quebec Superior Court judge has declared the North American branch of battery manufacturer Northvolt insolvent as the provincial government seeks to recover $260 million owed to it.
Justice Janet Michelin on Friday placed Northvolt Batteries North America under creditor protection following a request earlier in the week from the province.
Northvolt laid off its entire workforce on Thursday, a day after Economy Minister Christine Fréchette announced the government would provide no more funding for the company’s planned electric-vehicle battery plant on Montreal’s South Shore.
The court decision will allow the company to rehire about 15 employees to maintain the site where the factory was to be built.
The province lost a $270-million…