Amprius Technologies Inc. has reached an agreement with a special-purpose purchasing company valued at about $ 1.3 billion in silicon anode batteries, according to company officials.
Located in Fremont, California, Amprius makes batteries that are said to be stronger than lithium-ion cells because they use solid energy silicon at the anode of the battery instead of graphite, the usual material. The company currently sells to customers such as Airbus EADSY – 0.86%
The SE and the U.S. military say they can also be used to power electric planes and drones and electric cars.
Amprius Transport-based SPAC Kensington Capital Acquisition Corp. He is combining with IV in an agreement that will be presented on Thursday.
Many other companies, including the silicon anode battery company Enovix Corp.
they are working to mass-produce batteries that can store more energy and power more electric vehicles between charges, analysts say advances could be more common and reduce the world’s dependence on fossil fuels.
Amprius says it is the only one that has been selling products commercially since 2018, has a patented design to make all-silicon anodes, and the batteries are powerful enough to power electric aircraft because battery manufacturers have not received as much attention.
“We believe this will be a major technology,” Kang Sun, CEO of Amprius, said in an interview. The company said it hopes to use the money from the deal to increase manufacturing capacity and meet demand.
Founded in 2008, Amprius joins many other clean energy startups to reach a SPAC agreement.
Also known as a white check company, SPAC is a private company that collects money and trades on the stock exchange with the intention of combining it with a private company. Once an agreement is reached and approved by the regulators, the company replaces SPAC on the stock exchange. These mergers have become popular alternatives to traditional initial public offerings in recent years, and have allowed companies to raise money while joining individual investors.
Many recently launched startups have had technological avenues and supply chain disruptions have hurt, lowering stock prices and slowing the pace of new activity this year.
Some companies that previously announced SPAC agreements have completed combinations. The market for traditional IPOs has also cooled, hampered by broader stock market sales driven by concerns about high inflation and rising interest rates. Rapid growth and unprofitable startups have been among the hardest hit.
Justin Mirro, CEO of SPAC, said he is confident in the merger because of its unique structure and the experience of the SPAC team in launching the QuantumScape solid state battery. Corp.
and Wallbox NV for charging electric vehicles.
Under the deal, Amprius plans to raise $ 200 million from investors. That money and the $ 230 million Kensington SPAC raised in March could be used to expand the business, even if SPAC investors can withdraw their money before a deal is made. Low stock prices usually result in withdrawals.
To minimize withdrawals and motivate investors to keep their money in the deal, Kensington SPAC provides investors with an extra guarantee that allows them to buy additional shares at a specific price in the future.
Learn more about SPACs
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Amprius Silicon Battery Maker to Market $ 1.3 Billion SPAC Merger
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