The proposed deal by receivers will firmly end any faint prospect of an electric car battery factory being built in the area
Private equity giant Blackstone is on the verge of clinching a deal to acquire the site of the defunct Britishvolt in Northumberland, with plans to build one of Europe’s biggest data centres.
The proposed deal by the receivers effectively dashes any lingering hopes for an electric vehicle battery plant to be developed on the site. Britishvolt had once ambitiously planned a £3.8billion gigafactory at the Blyth location before it collapsed early last year. Recharge Industries stepped in to salvage Britishvolt post-administration, only to be hit with a winding-up order just last month.
On Monday, the official receivers handling Britishvolt Properties announced they’ve inked a contract to offload the site to a Blackstone subsidiary, the American investment titan. Blackstone has unveiled plans to convert the sprawling 235-acre plot “into one of the largest data centre facilities in Western Europe”.
Council leader Glen Sanderson said the council’s cabinet will “consider this really unique opportunity for Northumberland which offers a huge boost to the regeneration and renaissance of the local area”.
He highlighted that the data centre project is anticipated to generate upwards of 1,600 direct jobs, with 1,200 of those being enduring construction roles. If the deal goes through, Blackstone would gain long-term control of the site with a whopping £110million earmarked for local development, plus an additional £20million to snap up the land.
Bob Maxwell joint receiver at Begbies Traynor Group said: “From a difficult situation, the future sale will ensure a very bright future for the site. The process of securing a dependable buyer who has a clear, deliverable plan for the long-term use of this strategically important land asset was crucial after the failure of the last business at the site, and was a key factor in gaining the approval of Northumberland County Council who held options on the site.”
