- Press Releases
December 31 (Renewables Now) - Indian conglomerate Reliance Industries Ltd (BOM:500325) said today it has agreed to acquire UK sodium-ion battery technology developer Faradion Ltd in a deal with an enterprise value of GBP 100 million (USD 135m/EUR 119.4m).
The Indian group’s solar unit Reliance New Energy Solar Ltd (RNESL) will buy 88.92% of the target’s shares for an aggregate consideration of GBP 83.4 million. The remaining 11.08% of the equity shares will be acquired by RNESL for up to GBP 10.45 million within three years from the completion of the initial transaction.
Set up in 2010, Sheffield-based Faradion has developed a sodium-ion technology that it claims is more sustainable from other products on the market, while offering lower costs. It is suitable for deployment in mobility and energy storage applications, for backup power and energy in remote locations. According to the statement, the company owns an extensive intellectual property (IP) portfolio.
Under the agreement, Reliance Industries has also committed to investing GBP 25 million in Faradion as growth capital that will speed up the technology's commercial rollout. The Indian conglomerate intends to use Faradion’s technology at an energy storage gigafactory in Jamnagar, in India’s Gujarat state.
“We believe this will be one of our many steps that will also enable, accelerate, and secure large scale energy storage requirements for our Indian partners developing and transforming India’s EV mobility and transport sector,” said Reliance Industries’ chairman Mukesh Ambani.
The transaction is seen to be completed in January 2022.
(GBP 1.0 = USD 1.350/EUR 1.194)