On October 12, 2021, FREYR Battery, a developer of clean, next-generation battery cell production capacity, announced the formation of a joint venture in the United States between Koch Strategic Platforms (KSP) and FREYR. The joint venture, which has a 50/50 percent ownership structure, has been established to develop an initial 50 GWh of Gigafactory-scale battery cell manufacturing capacity in the U.S. based on 24M Technologies SemiSolidTM platform technology. The scale and scope of the targeted development would position the joint venture as one of the largest battery cell manufacturers in the U.S., using American-borne technology and the sustainable innovation of a premier U.S.-based, global industrial partner in KSP. This venture further progresses FREYR’s strategic focus of developing clean, localized battery cell production and supply chains to catalyze emerging energy technology adoption.

In conjunction with the agreement, KSP and FREYR have invested $70 million in convertible promissory notes with 24M, under which KSP and FREYR will initially invest $50 million and $20 million, respectively. Upon closing of the convertible note financing, the joint venture entered into a new licensing agreement with 24M that will enable the joint venture to deploy 24M’s SemiSolidTM platform technology with conditional limited exclusivity in the U.S.

The joint venture will leverage 24M’s SemiSolidTM technology, which dramatically reduces the number of steps required to manufacture battery cells while still using conventional lithium-ion raw materials. The SemiSolidTM production platform enables capital and operating cost savings as well as expanded opportunities to recycle materials. Using the 24M technology platform, the joint venture will have the flexibility to provide next-generation batteries of various sizes and chemistries at commercial scale.   

Wilson Sonsini Goodrich & Rosati represented FREYR in the transaction. The team includes James Clessuras, Mark Solakian, and Mark Baudler.

For more information, please see FREYR's press release.