GM’s venture capital arm made its second investment this week, this time in Michigan-based lithium-ion battery start-up Sakti3.
Sakti3 received $3.2 million from GM’s venture capital unit and $1 million from Itochu Ventures of Tokyo, which bought minority stakes in the company.
Sakti3 is developing next-generation lithium-ion batteries that are designed to be cheaper and extend electric vehicle range. Rather than using a liquid electrolyte, Sakti3’s batteries are solid-state devices, which would allow car batteries to hold more energy and improve safety, according to the company.
The funding was the second close of the company’s Series B round. Sakti3 was awarded a $3 million grant from The Michigan Economic Development Corporation (MEDC) in 2009 and has been designated as a State of Michigan Center of Energy Excellence (CoEE) in partnership with the University of Michigan.
Sakti3 was founded in 2007 as a spin-out of the University of Michigan and has been supported to date by Khosla Ventures and the MEDC.
GM set up General Motors Ventures LLC in June with $100 million to invest in companies that are developing transportation technology.
A little over a month ago, GM Ventures announced its first investment in Indiana-based plug-in hybrid van maker Bright Automotive.