The major shareholders finance further development of Morrow Batteries

Morrow Batteries is raising €48.4 million in new capital to finance the company’s further industrialisation. The company is presenting its annual report today, and development is proceeding as planned towards opening Norway’s first battery factory in the summer of 2024.

The company raised capital in a share issue directed toward existing shareholders. The main shareholders, Å Energi, Maj Invest, Siemens Financial Services, ABB, and some minor shareholders participated. The industrial investors increased their ownership stake through the issuance.

Morrow Batteries will start mass production of batteries in 2024 and will be the first manufacturer of LFP batteries on a gigawatt scale in Europe. Morrow recently signed the first sales contract for LFP battery cells with Nordic Batteries.

We are grateful for the continued support from the shareholders. We finance the company as we scale up for gigaproduction and develop new technology. This is a capital-intensive process. Morrow is on track to become a profitable Norwegian battery producer with a material R&D capability.

Lars Christian Bacher

CEO, Morrow Batteries

The shareholders have thus invested over NOK 3.2 billion in Morrow. The company will also continue to finance itself in line with the construction of the business and is continuously considering all options, including both equity and debt financing.

“We also look forward to the government’s new loan scheme for green industrial financing soon being in place. This is important risk relief for our further growth, and we will apply for NOK 1.5 billion. Commercial and industrial progress combined with this green loan Morrow believes will be attractive to the investor market,” says Bacher.

Morrow recently reported a significant increase in the performance of its LFP batteries (lithium, iron, and phosphate), with the lifespan increasing by 30 percent and the energy density increasing by 10 percent. This allows the company to offer a commercially sustainable, thoroughly tested, competitive LFP product.

In the spring of 2023, Morrow’s research centre in Grimstad opened with over 60 employees from 25 nations working further to develop Morrow’s unique batteries with innovative battery chemistry. This is Norway’s most extensive research environment within battery technology. The company has produced over 2000 batteries at the customer qualification line in South Korea. The factory building in Arendal was ready in the summer of 2023, and equipment was delivered for installation through the autumn and winter. When the factory officially opens on Friday, August 16, it will be Europe’s largest for producing LFP batteries.