Electric battery producer Solid Power will list on the Nasdaq later this year following a merger with Decarbonization Plus Acquisition Corporation III, bringing the combined value of the companies to $1.2bn.
The Colorado-based firm anticipates completing the transaction in the fourth quarter of 2021 and is expected to have approximately $600m in cash. The deal also includes $165m in PIPE transactions from Koch Strategic Platforms, Riverstone Energy, Neuberger Berman funds and Van Eck Associates.
A press release issued by the company showed cash proceeds to Solid Power will be used to fund operations and support market growth.
Doug Campbell, co-founder and CEO of Solid Power, said the deal marks an important milestone for commercialising all-solid-state batteries to alleviate the two largest passenger EV pain points about range-anxiety and cost.
“In addition to our existing partners, Ford and BMW,” he said, “we are now excited to partner with the DCRC team that shares our vision of powering a cleaner, safer and cost-effective electric future."
Solid Power also announced a $135m Series B investment round led by the BMW Group, Ford Motor and Volta Energy Technologies. Ford and the BMW Group will continue their partnership and development agreement with Solid Power to secure all-solid-state batteries for future electric vehicles.
Solid Power is expected to supply batteries providing nearly 500 miles or 805 kilometers of driving range to future Ford and BMW vehicles.
The increased vehicle range is 50 to 75% greater than any commercially available lithium-ion battery today.
Due to its cell architecture, the safety profile of the electric batteries is also an upgrade from traditional lithium-ion, according to the company release.