(Bloomberg) —

Northvolt AB raised $1.2 billion from North American investors including BlackRock Inc. and CCP Investments as the Swedish battery maker is said to be in talks to set up a new factory in Canada.

Northvolt extended last year’s $1.1 billion convertible note to $2.3 billion to finance an expansion of its production capabilities in Europe and North America, the company said Tuesday. Ontario’s public-sector investment vehicle and its pension fund also invested.

The battery maker has raised more than $9 billion in equity and debt in the past six years, bolstered by over $55 billion in orders from automotive clients including BMW, Volvo Cars and Volkswagen. The company has said it plans to eventually go public.

Bloomberg reported in June that Northvolt is close to a deal to build a battery plant near Montreal, a project that’s expected to be worth about C$7 billion ($5.2 billion). Earlier this year, the company also confirmed it was moving forward with a plant in Germany after Berlin pledged roughly €1 billion ($1.1 billion) in aid.

Meanwhile, Northvolt said that its factory in Gdansk, Poland, has assembled first energy storage system products, with deliveries expected to start later this year.

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