Reliance Industries has agreed to buy the assets of Netherlands-based Lithium Werks for $61 million (Rs 466 crore), marking its fifth M&A in the new energy and new mobility ecosystem.
The target company makes cobalt-free, lithium iron phosphate batteries which are used in electric vehicles, medical and energy storage applications. RIL, which will route the M&A through Reliance New Energy, will acquire the entire patent portfolio of Lithium Werks, its manufacturing facility in China, key business contracts and existing employees.
Reliance New Energy has previously acquired Ambri, REC Solar, Sterling & Wilson Solar and Faradion. The combination of Lithium Werks and Faradion, a player in sodiumion cell chemistry, will strengthen Reliance’s technology portfolio and help it to establish an end-to-end battery ecosystem in its transition to a fossilfree future.
RIL, which built its fortunes on fossil fuels, is racing to replace sales of road fuels like diesel and gasoline with greener options as it seeks to achieve net carbon zero target by 2035. LFP is fast gaining as one of the leading cell chemistries due to its cobalt and nickel free batteries, low cost and longer life compared to NMC (lithium manganese cobalt oxide) batteries.
“Along with Faradion, Lithium Werks will enable us to accelerate our vision of establishing India at the core of developments in global battery chemistries and help us provide a high-performance supply chain to the large and growing Indian EV and energy storage markets,” said RIL chemistries and help us provide a high-performance supply chain to the large and growing Indian EV and energy storage markets,” said RIL chairman Mukesh Ambani.