Nano One Materials to procure Johnson Matthey Battery Materials Canada
Battery materials company Nano One Materials has announced that it has entered into a binding agreement to acquire all the outstanding shares of Johnson Matthey (JM) Battery Materials Ltd. (JMBM Canada) for approximately C$10.25 million (US$8 million).
The acquisition is fully funded and is on a cash-free, debt-free basis, and is subject to certain working capital adjustments.
In November 2021, Johnson Matthey decided to exit the battery materials business and has been working since to find a buyer or multiple buyers for its related assets. (Earlier post, earlier post.)
JMBM Canada includes a team with more than 360 years of collective experience, including R&D, pilot to commercial scale cathode production, and product qualification and quality assurance systems qualified for tier 1 automotive lithium-ion cell manufacturers.
JMBM Canada also includes a 2,400 tonne per annum capacity LFP production facility located in Candiac, Québec occupying approximately one-tenth of the 400,000 square foot property.
The transaction is expected to complete by the end of 2022, subject to JMBM Canada fulfilling contractual commitments and certain other closing conditions.
The Candiac production facility was acquired by Johnson Matthey in 2015 and has been in operation since 2012. It is a supplier of lithium iron phosphate (LFP) cathode material to the lithium-ion (Li-ion) battery sector for both automotive and non-automotive applications for a select group of customers.
Strategically located in Candiac, Québec, it has the benefit of access to a North American ecosystem that will serve the broader global community with cost-effective, resilient, and environmentally sustainable cathode materials.