Funding and M&A Roundup Storage Developer Field Energy Secures $257 Million

Verkor, a manufacturer of lithium-based battery cells and modules, secured €1.45 billion (~$1.54 billion) with a mix of equity and debt funding to build its gigafactory. The series C funding totaled €850 million (~$905 million) and was led by Macquarie Asset Management via its fund dedicated to solutions for the energy transition. Other investors who participated in the equity round include Meridiam, Renault Group, EQT Ventures, EIT InnoEnergy, Sibanye-Stillwater, Crédit Agricole Assurances, and Bpifrance.

This round also highlights Crédit Agricole Assurances and the Strategic Participation Fund (FSP) operated by ISALT, which are committed to green reindustrialization.

“The electrification of the European automotive industry by 2035 requires significant investment in supply chains for battery manufacturing,” said Chris Archer, Co-Head EMEA for Macquarie Asset Management Green Investments

European Investment Bank provided the €600 million (~$640 million) debt funding. The company is also set to receive around €650 million (~$692 million) in subsidies, mainly from the French state as part of the “France 2030” plan, which is subjected to final approval by the European Commission.

The financing will accelerate the construction of Verkor’s first gigafactory in Dunkirk and the manufacture of battery cells. It will also support ongoing technological developments at the Verkor Innovation Centre for new manufacturing technologies alongside strategic investments across the battery value chain.

Chris Archer, Co-Head of EMEA for MAM Green Investments, said: “Achieving the electrification of Europe’s car industry by 2035 will require significant investment in battery manufacturing supply chains.

VC Funding activity for the energy storage sector was up 27% in 1H 2023, with $3.8 billion in 43 deals compared to $3 billion in 48 deals in 1H 2022, according to Mercom’s 1H And Q2 2023 Funding and M&A Report for Storage & Smart Grid.

Mitra Future Technologies (Mitra Chem), a lithium-ion battery materials manufacturer, completed a $40 million first close of a $60 million Series B funding round, which is expected to help the company develop and commercialize iron-based cathode materials.