Group14 Technologies has raised €150 million and chosen Sagunto, Spain, for its next factory. The Woodinville, Washington, company makes SCC55, a silicon-carbon material that replaces graphite in lithium-ion battery anodes.

The deal

  • A €150 million (about $169 million) Series D extension from a new, undisclosed investor takes the round past $665 million.
  • As part of the funding, Group14 committed to building SCC55 production in Europe. The Sagunto plant, BAM-4, starts at 10 GWh a year.

Its factories

  • BAM-1: commercial pilot plant in Woodinville since 2021, supplying more than 150 customers.
  • BAM-3: Sangju, South Korea, 10 GWh, operating and ramping up.
  • BAM-2: Moses Lake, Washington, two 10 GWh modules expected in 2027.
  • BAM-4 would bring near-term capacity to 40 GWh.

"Battery material producers must be located where the batteries are made," said CEO Rick Luebbe.

Why Sagunto

Electrive points out that Volkswagen's PowerCo is building a large cell factory in Sagunto, and that Porsche is a major Group14 investor. It suggests the unnamed investor could be linked to the VW Group but says that is unconfirmed. Group14 says SCC55 is already used in smartphones, drones, hypercars and eVTOLs. Silicon anodes are one way to increase energy density and charging speed, the same goals behind Tesla's own cell work.