Japan’s automobile manufacturer Honda will join the lithium metal battery development project of SES, a U.S. battery developer invested by Hyundai Motor, SK, and GM.
SES announced on the 20th that it has signed a joint development agreement (JDA) with Honda to develop lithium metal batteries.
An official from SES said this partnership is a key milestone of the SES’ strategic roadmap to commercialize electric vehicle (EV) hybrid lithium metal batteries.
Accordingly, Honda became the third global automobile manufacturer to sign a JDA of sample-A battery with SES after GM and Hyundai Motor.
Regarding the current business combination with SES and a Special Purpose Acquisition Company (SPAC) Ivanhoe Capital Acquisition (Ivanhoe), Honda has agreed to invest in SES through Ivanhoe's PIPE (Private Investment in Public Equity).
With signing the investment agreement, Honda has been the sixth major global automobile manufacturer to invest in SES along with GM, Hyundai Motor, Geely Automobile Group, Shanghai Automobile Group, and Foxconn.
Under the deal, the total PIPE investment will be $275 million when the business combination between SES and Ivanhoe is completed, and Honda will become the largest PIPE investor with a 2% stake in SES if Ivanhoe’s common shareholders do not repay it.
SES founder and CEO Qichao Hu said, “We are very happy that Honda has signed the JDA with SES, following the PIPE investment. We hope to strengthen our strategic partnership further.”
Global Economic Reporter Da-jeong Kim ; Translate by Gounee Yang