Reliance New Energy Ltd., a wholly owned subsidiary of Reliance Industries Ltd., announced that it has signed definitive agreements to acquire substantially all of the assets of Lithium Werks BV for a total transaction value of US$61 million, including financing for future growth .
Assets include Lithium Werks’ entire patent portfolio, manufacturing facility in China, key business contracts and hiring of existing employees to continue the business.
Formed in 2017 through the acquisition of certain assets of Valence and the A123 industrial division, Lithium Werks’ management has more than 30 years of battery expertise and nearly 200 MWh annual production capacity, including coating, cell and custom module manufacturing capabilities, Reliance said in an explanation .
Lithium Werks is a leading supplier of cobalt-free and high-performance lithium iron phosphate (LFP) batteries. “With the recent resurgence in demand for LFP batteries, Lithium Werks is uniquely positioned to capitalize on the global opportunities ahead through its integrated portfolio of LFP solutions,” the company added.
Mukesh Ambani, Chairman of Reliance Industries Ltd. said: “LFP is fast becoming one of the leading cell chemistries due to its cobalt and nickel free batteries, low cost and longer life compared to NMC and other chemistries.”
“Lithium Werks is one of the world’s leading LFP cell manufacturing companies, with a vast patent portfolio and a management team that brings tremendous experience of innovation across the LFP value chain. We look forward to working with the Lithium Werks team and excited to see the pace at which we make strides in building an end-to-end battery manufacturing and supply ecosystem for the Indian markets,” he added .
“Together with Faradion, Lithium Werks will enable us to accelerate our vision to place India at the heart of developments in global battery chemistry and help us provide a secure and high-performing supply chain for India’s large and growing electric vehicle and energy storage industry markets,” Mr Ambani said.
Joe Fisher, Co-Founder and CEO of Lithium Werks, said, “This agreement means increased resources and expanded global reach, while leveraging our experienced team and IP portfolio, and providing scale and momentum to drive our product innovation and capacity expansion and our to accelerate clean energy strategy.”