Reliance arm to acquire UK-based battery technology firm Faradion
In addition, RNESL will also invest GBP 25 million (over Rs 250 crore) as growth capital to accelerate commercial roll out.
Hyderabad: Reliance New Energy Solar Ltd (RNESL), a wholly owned subsidiary of Reliance Industries, signed definitive agreements to acquire 100 per cent shareholding in Faradion for an enterprise value of GBP 100 million (over Rs 1,000 crore).
In addition, RNESL will also invest GBP 25 million (over Rs 250 crore) as growth capital to accelerate commercial roll out.
Based out of Sheffield and Oxford in UK, Faradion has an extensive IP portfolio covering several aspects of sodium-ion technology, which provides advantages compared to alternative battery technologies, especially lithium-ion and lead acid.
Reliance will use Faradion’s technology at its proposed fully integrated energy storage giga-factory, as part of the Dhirubhai Ambani Green Energy Giga Complex project at Jamnagar, India.
Speaking about the acquisition, Mukesh Ambani, chairman, Reliance Industries, said, “The sodium-ion technology developed by Faradion provides a globally leading energy storage and battery solution which is safe, sustainable, provides high energy density and is significantly cost competitive. In addition, it has wide use applications from mobility to grid scale storage and back-up power.”
Most importantly, it utilises sodium, which will secure India’s energy storage requirements for its large renewable energy and fast-growing EV charging market.
“We will work with Faradion management and accelerate its plans to commercialise the technology through building integrated and end-to-end giga scale manufacturing in India,” Ambani added.
James Quinn, CEO of Faradion, said, “Reliance is the perfect partner for supporting Faradion’s growth in the rapidly expanding Indian market and to jointly speed up the transformation of the global energy market.”
Linklaters LLP acted as the legal advisor and Ernst and Young as the accounting and tax advisor to Reliance on this transaction.
