Noida-based EV Startup Lohum Raises $7 Mn From Baring Private Equity Partners
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Innovative lithium-ion battery pack manufacturer and battery recycling company Lohum announced on Monday to have raised $7 million in a funding round led by Baring Private Equity Partners.
The capital raised will accelerate growth plans to achieve an integrated domestic capacity of 700MWh within a year, as well as move-up the first overseas recycling plant in the US.
From its 2017 start in New Delhi, the company has said to have developed advanced technology in manufacturing first and second life lithium-ion battery packs for low-power mobility applications and recovering critical battery materials through extraction at the end-of-life.
"Lohum has a pioneering approach to lithium-ion battery manufacturing and recycling and is poised to benefit from the coming wave of electric vehicles and stationary storage. Their vertical integration into first life and second life batteries along with recycling make them an ideal partner for original equipment manufacturers aiming for cost-effective and sustainable battery solutions. Making recycled battery chemicals and metals available to customers which lack access to them for geopolitical or geographical reasons will lead to democratization in cell manufacturing. Lohum's vision to create global leadership in li-ion battery recycling with a multinational team and global footprint is inspiring. Baring India is proud to support them in this endeavor and wishes them the best," shared Arul Mehra, partner, Baring Private Equity Partners.
The platform’s high growth over the last year led to the launch of its second manufacturing unit in Greater Noida with a production capacity of 300MWh divided evenly between pack productions and recycling.
"It gives us great pleasure to have Baring Private Equity Partners as a lead investor in Lohum as the firm shares the same level of passion and belief in the fast-growing electronic vehicles (EV) ecosystem in India and around the globe. The investment raised will ensure that Lohum expands its manufacturing capabilities and its product offerings multi-fold. In 2021 one of our key focus is to expand our dealer network across the country and also increase overseas operations. At Lohum our core vision is to create technology that makes battery power cheaper and last longer in every part of the globe," Rajat Verma, founder and chief executive officer, Lohum.
The company maintains that it is achieving an annualized run rate greater than $8 million with a target of greater than $90 million within three years.