Electrovaya Inc. has completed the acquisition of Evonik Litarion GmbH and the licensing of the ceramic composite separator SEPARION intellectual property from Evonik.
The transaction comprises one of the most advanced and automated production plants for lithium ion electrodes and ceramic composite separators, with a rated capacity of 0.5 Gigawatt hours (GWh) of electrodes and 10 million m2 of ceramic separators along with all associated intellectual property.
This is a transformational acquisition for Electrovaya as it instantly brings best-in-class manufacturing, and capacity to meet exciting growth prospects for the company’s energy storage and other products.
Separion is a proprietary ceramic composite separator for ultra-safe lithium ion battery applications. The acquisition includes an exclusive license to distribute as well as the ability to sub-license, form joint ventures, expand production within Germany, establish additional plants in Asia and elsewhere. Previously Separion had a restricted customer base, however now this exciting and desirable material will be marketed and made available globally. Over 170 protective rights relate to the Separion separator.
Furthermore, Litarion owns numerous patents concerning chemical cell components for lithium ion batteries. The portfolio contains more than 70 protective rights. Collectively, this portfolio of intellectual property and patents accompanies the purchase of Litarion.
The highlights of the transaction are:
– State of the art lithium ion electrode and ceramic composite separator manufacturing facility in Europe
– Acquiring experienced management and strong technical team to manage operations and future growth
– Electrovaya’s green production process will eliminate the conventional solvent usage and allow up to 50% reduction in processing costs, about 80% reduction in energy costs while producing higher performing products, bringing the plant to the very bottom of the cost curve globally
– Manufacturing capacity will enable Electrovaya to bid on larger energy storage system opportunities worldwide, which the company was previously unable to do due to lack of capacity
– Acquiring a large portfolio of intellectual property in Litarion including patent assets which relate to electrodes, electrolytes and lithium ion battery cells, built over the years of research under the roof of Evonik.
– Products from the plant will now be expanded to broader and higher margin markets including grid-scale energy storage, aerospace, micro-grids and marine industries. This large volume facility and its seasoned management team will drive key energy storage revenues globally.