Amara Raja Batteries to invest in Inobat; gain a foothold in Europe's EV ecosystem
Industrial and automotive battery major, Amara Raja Batteries Ltd. has announced its plans to invest in InoBat Auto ("InoBat"), a European technology developer and manufacturer of premium batteries for e-mobility.
The latest investment is expected to give Amara Raja a key foothold in the fast-growing European EV ecosystem, where several gigafactories are being set up to support the region's electric vehicle push, including in the UK, which is seeing a rising need to address the increasing demand for EVs.
"We are excited to announce our investment in InoBat. InoBat has proven its capability to develop innovative battery technologies in a short span of time," said Vikram Gourineni, Executive Director, Amara Raja Batteries. "Its "cradle-to-cradle" approach supports Amara Raja's own goals on sustainability and will help to taper long-term dependence on the import of critical raw materials."
Through the strategic partnership, Amara Raja will be able to access expertise in advanced EV battery technology and manufacturing expertise that will help deploy the required technologies for the manufacture of batteries for e-Mobility applications. The investment is also expected to open new R&D avenues for the company while allowing it to adapt InoBat'sinnovative battery technology to the markets that Amara Raja already serves.
In June this year, the Amara Raja Group announced 'Energy and Mobility' as the strategic focus of the company moving forward. It announced the expansion of its lead-acid batteries business and the establishment of New Energy SBU encompassing lithium-ion cell and battery pack, EV chargers, energy storage systems, and home energy solutions, and related products and services.
"Today's announcement is strategically important for InoBat and its planned gigafactories across various parts of Europe," said Marian Bocek, Chief Executive Officer of InoBat Auto. "It shows that unique collaborative partnerships are vital for driving forward the uptake of E-mobility solutions globally, including the emerging markets."
InoBat is currently in the midst of developing a battery R&D centre and production line in Voderady, Slovakia. The next phase of the project will focus on a manufacturing scale-up through a number of gigafactories planned across Europe and globally. It is backed by a strong consortium of partners, including CEZ, one of the major European Utilities, and Rio Tinto, the global mining giant, who have made an investment in the company.