Combined Existing Shares Total 50% Stake
Securing Status as Largest Shareholder and Controlling Company
Diversifying Business of Secondary Battery Cathode Materials
[Asia Economy Reporter Lim Jeong-su] Secondary battery automation system company Cowintech announced on the 11th that it will additionally acquire shares of Top Material (formerly Top Battery), a company specializing in secondary battery materials and system engineering (production process design).
By acquiring shares of Top Material, Cowintech will secure a 50% stake including its existing holdings, becoming the largest shareholder and controlling company. Through this share acquisition, the company plans to diversify related businesses such as secondary battery cathode materials.
According to Cowintech, Top Material was established in 2012. It has developed next-generation cobalt-free cathode materials (lithium iron phosphate batteries) that are affordable and have high safety against fire and explosion, as alternatives to expensive cobalt cathode materials, and supplies them to electric two-wheeler batteries.
Currently, the company is focusing on developing next-generation secondary battery cathode materials that are even safer and more affordable. The next-generation cathode materials are expected to be the best alternative to reduce battery costs, which account for the highest cost ratio in electric vehicles.
A Top Material official explained, "We are focusing on developing next-generation cathode materials using high-voltage manganese systems that are affordable and have excellent safety, instead of expensive cobalt and nickel content," adding, "With Cowintech's investment, we plan to build mass production facilities for cathode materials and electrode lines to maximize added value."
Top Material is also expanding its network with overseas companies in the secondary battery system engineering field. Through references in China and the United States, it has secured projects to establish turnkey solutions including process design, equipment supply (outsourcing), and production stabilization for newly established secondary battery companies in Europe, Asia, and the Americas.
A Cowintech official said, "We plan to expand Cowintech's secondary battery automation system sales network by utilizing Top Material's network," adding, "In the long term, based on the technological capabilities and overseas sales power of both companies, we will grow into a leading total solution company covering everything from next-generation secondary battery materials to equipment.”
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