Global solid-state battery maker ProLogium, whose backers include giant Mercedes-Benz Group and Vietnamese electric vehicle (EV) producer VinFast, expects to raise fresh funding at a valuation of about $2 billion, Bloomberg said Wednesday.
The Taiwan-based EV battery supplier wants to use the expected fresh funding to ramp up growth and investments.
It is in talks with potential advisers to initially raise as much as $300 million, Bloomberg said, citing its sources but did not name them because the matter is private.
VinFast announced in July 2022 an investment of tens of millions of U.S. dollars in ProLogium. The Vietnamese EV startup added the two sides will become long-term strategic partners, and they will have commercial agreements to develop battery pack designs using ProLogium proprietary solid-state battery technology, adhering to strict specifications on the parameters, quality, and safety for VinFast.
ProLogium plans to provide solid-state battery cells to VinFast starting in 2024, the latter said. VinFast added that in the future, the two sides may also establish a joint venture battery factory in Vietnam.
VinFast is the car unit of Vietnam’s largest conglomerate Vingroup. At present, Vingroup’s VinES Energy Solutions and China-based Gotion High-Tech are co-building a $275 million battery factory in the central Vietnamese province of Ha Tinh.
The joint-venture plant is designed to annually produce 30 million lithium iron phosphate (LFP) battery cells. LFP is currently the most mainstream battery technology in the global energy market, with unique advantages of high safety and long life.
ProLogium, founded in 2006, is one of a handful of companies touting advanced battery technology that is more powerful, durable, faster to charge and safer than traditional lithium-ion cells which are used in many EVs. The company in 2021 raised $326 million from investors including Primavera Capital and SoftBank Group Corporation’s SB China Venture Capital.
ProLogium’s website shows that the firm has so far provided close to 8,000 solid-state battery sample cells to vehicle manufacturers for testing and development.