Firm behind 200-job battery factory in Dundee 'on brink of collapse'

Image source, AMTE Power

Image caption, AMTE Power announced plans last year for a large factory at the former Michelin tyre plant in Dundee

The Highland company planning to build a large battery factory in Dundee has warned it is on the brink of collapse.

AMTE Power said its financial situation was "becoming ever more critical" and it only had a few business days to find new funding.

The company told the London Stock Exchange it continued to have active discussions with existing and potential investors.

But it said the risk of administration was becoming "ever more likely".

The Thurso-based company announced last month it was urgently seeking to raise new funds after running short of cash.

It said then that it needed "to conclude some form of fundraising within no less than the next four weeks".

AMTE has developed specialist batteries, including power cells for high-performance cars.

It revealed plans last year to build a "gigafactory" at the former Michelin tyre plant in Dundee, creating more than 200 jobs within the next few years.

This week, Jaguar Land Rover announced it was locating a large battery factory in Somerset, backed by a large UK government funding package as part of a global race to secure manufacturing for the transition to electric vehicles.