Magnis funded for NY gigafactory 

MAGNIS Energy has filled the war chest with US$85 million for its New York battery plant via debt and equity for its partially owned Imperium3 subsidiary. 
Magnis funded for NY gigafactory  Magnis funded for NY gigafactory  Magnis funded for NY gigafactory  Magnis funded for NY gigafactory  Magnis funded for NY gigafactory 

Helen Clark

Editor

It is now fully funded for gigawatt production, with the money being used to fast track the New York battery plant to production, expected next year. 
 
Project development kicked off recently. 
 
Imperium3 received a $50 million senior-secured term loan from Riverstone Credit Partners and $35 million in equity funding from $23.6 million from Magnis, which takes its holding to 63%. 
 
Imperium 3 New York is now fully funded to build over 1 gigawatt hour of battery cells per year; production will begin early next year. iM3 has $230 million of manufacturing assets already in place. 
 
The loan has a four-year term and interest rate of 12.5%. Due diligence cost another $1 million. 
 
"Today's annoucement is the culmination of over two years of work from both the Magnis and C4V teams to finalise the finding while retaining majority ownership,' chairman Frank Poullas said. 
 
"We believe the lithium-ion battery market is set to grow exponentially in the United States and we are in a great position... With offtake agreement signed and a focus on producing greener lithium-ion batteries we are in a great position to take advantage of this sector."
 
The joint venture is planning to scale up to 32GWh per annum of production and looking at a US listing. Some 150 people will be hired to work on battery manufacturing and at company headquarters beside the factory. 
 
Riverstone has raised over $41 billion in equity capital over 21 years.