Batteries

Battery startup Magnis secures $A20 million as Hancock heir buys in

Published by
Bridie Schmidt

Magnis Energy Technologies says it has secured $A20 million in funding from SBC Global Investment and Lind Partners, an investment vehicle of which John Hancock, eldest son of late mining magnate Lang Hancock and Gina Rinehart is a senior advisor.

The ASX-listed battery startup has plans to make lithium-ion cells for the electric vehicle industry in both New York, USA and Townsville in Queensland, Australia.

It says it has conducted successful tests for EV battery cells in an unoptimised 25kWh pack that can charge in just six minutes.

According to the findings of a New York State government-backed assessment, the six-minute batteries are rated as “potentially the greenest” in the north-eastern US market.

The new funding will go into Magnis’ war chest, which most recently included $34 million secured in February for its New York operations.

Magnis gained approval in late 2020 from the Queensland government for its feasibility study on the Townsville factory and has since now more than $60 million to date to accelerate its lithium-ion manufacturing plans.

“We are very pleased to fund Magnis Energy Technologies, an innovative Australian company focusing on producing green high performing lithium-ion batteries and developing technologies for rapid charging,” said Hancock in a statement regarding the new funding.

“The global lithium-ion battery market is expected to grow at a compound annual growth rate (CAGR) of 15% from 2020 to 2026, and US$41.1 billion in 2021 to US$116.6 billion by 2030.

“Companies that can deliver better-performing batteries at scale will be rewarded with market share, and we look forward to being part of Magnis’ journey in this space.”

Magnis shares were suspended on July 29, 2021 priot to the announcement and re-opened on Tuesday selling at 30 cents per share.

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