GM battery material supplier Vianode explores partnership or sale

By Reuters News

By Marie Mannes

STOCKHOLM, Sept 30 (Reuters) - Norwegian synthetic graphite producer Vianode is seeking a partner to provide capital, industrial expertise or a broader strategic relationship to support its next expansion phase, its CEO Burkhard Straube said.

Vianode, which counts General Motors GM.N among its customers, is open to outcomes ranging from a partnership to a full takeover, Straube told Reuters, adding that the company had hired JP Morgan to help it with the process.

Western companies are racing to cut their reliance on China for battery materials, with Beijing controlling about 95% of global supply of battery-grade graphite.

Vianode hopes to have a partner in place as soon as the end of this year and is open to industrial and financial investors, Straube said in an interview.

Companies involved in battery manufacturing face a difficult funding environment after the collapse of Sweden's Northvolt and slowing demand for EVs.

Swedish private equity firm Altor has been Vianode's sole financial backer since 2024, when Norsk Hydro said it would sell its stake and halt further funding.

Straube said Vianode, which also has customers in energy storage and defence, needs a new partner to have the same strategic ambitions and financial capabilities and the capacity to back the company.

"It is an attractive case for the right partner, with Vianode having proven both its technological and commercial viability," said Altor spokesperson Andreas Hamrin.

US automaker GM signed a multibillion-dollar agreement in January 2025 for Vianode to provide synthetic graphite anode materials for EV batteries.

But like Nissan 7201.T, Jeep maker Stellantis STLAM.MI and others, GM has scaled back its ambitions as demand has cooled and US President Donald Trump has rolled back EV support.

Vianode is building a synthetic graphite plant in Ontario capable of supplying material for about 2 million EVs annually but requires additional funding for it to be completed.

The company shifted its expansion focus to North America in 2023, arguing Europe lacked the incentives and regulatory support to compete.

Production is currently scheduled to start in 2029, later than originally envisaged.

Vianode has operated a plant in Norway since 2024, with capacity expected to reach 2,000 metric tons per year, enough for about 35,000 electric vehicles.

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.