K Separator EnerEver, "North America Entry in First Half... IPO in Q3 Next Year"

Shinsanggi, CEO of EnerEver, is giving a presentation at the 7th NGBS held on the 26th at the Gangnam Science and Technology Center in Seoul. Photo by Kang Hee-jong

EnerEver Battery Solution, a domestic secondary battery separator company, is set to enter the U.S. market this year. The company aims to achieve sales of 40 billion KRW this year and to be listed on the KOSDAQ market in the third quarter of next year.

On the 26th, Shin Sang-gi, CEO of EnerEver, told reporters at the '7th Next Generation Battery Seminar (NGBS)' hosted by SNE Research at the Science and Technology Center in Gangnam, Seoul, "We plan to acquire a battery material factory in Tennessee, USA, investing about 30 billion KRW." A preliminary contract has recently been signed, and the main contract is planned to be signed in the first half of the year.

The factory spans 14,500㎡ (approximately 4,386 pyeong), where EnerEver plans to produce secondary battery separators and cylindrical battery cans. CEO Shin explained, "We plan to raise U.S. investment funds from investors in the U.S. and Japan." The Tennessee factory that EnerEver is acquiring is close to LG Energy Solution and GM’s joint venture Ultium Cells Plant 2 and SK On’s BlueOval battery plant.

EnerEver’s entry into North America is expected to expand the market share of Korean companies as Chinese separator companies face difficulties entering North America due to the U.S. Inflation Reduction Act (IRA). Under the IRA, separators are classified as 'battery components.' According to IRA regulations, as of 2024, at least 60% of battery components must be manufactured or assembled in North America to qualify for government subsidies for electric vehicles.

EnerEver was founded in 2012 by CEO Shin Sang-gi, formerly of Samsung SDI, and focuses primarily on separator production. The company operates wet and dry separator factories in Wanju, Jeonbuk, and Chungju, Chungbuk. Until now, it has mainly supplied separators to domestic small and medium battery cell companies and Asian battery companies.

Testing is also underway to supply separators to the three major domestic battery companies. Since separators are closely related to battery safety, the verification and testing period is long, and the entry barrier is high.

Recently, the company expanded its business into cylindrical battery can production. It produces 18650 and 21700 battery cans at its Hwaseong factory in Gyeonggi Province. It is also developing 46mm diameter battery cans such as 4680 and 4695.

EnerEver expects its performance to increase significantly this year through exports of separator base materials. CEO Shin stated, "We recorded sales of 5 billion KRW last year and expect sales of 40 billion KRW and an operating profit margin in the double digits this year." Sales are expected to increase to 80 billion KRW next year. The company aims to be listed on KOSDAQ in the third quarter of 2025. The lead underwriters for the listing are Mirae Asset and Samsung Securities.