Redwood secures over $1bn in Series D, eyes US battery material dominance

Redwood has announced the triumphant closure of its latest equity funding round, raising an astonishing $1 billion-plus in Series D shares. Co-led by heavyweight investors Goldman Sachs Asset Management, Capricorn’s Technology Impact Fund, and funds managed by T. Rowe Price Associates, this fresh capital injection aims to redefine America’s battery supply chain. For the first time, the funding will enable Redwood to offer U.S.-made battery materials to its customers, positioning the company as a front-runner in the battery materials industry.

From Recycling to Refining: Redwood’s Sustainable Vision

With a laser-like focus on environmental sustainability, Redwood plans to amplify its efforts in collecting end-of-life batteries, boosting its refining capabilities, and turning these into sustainable products. This green strategy forms the bedrock of Redwood’s operations as the company scales its battery material production capabilities. The new funding will also enable the recruitment of an industry-leading technical team, vital for spearheading innovation and excellence in the field of sustainable battery materials production.

A Financial Feat: Close to $4 Billion Raised

To date, Redwood’s financial milestone is nothing short of impressive. Alongside the $1 billion in Series D funding, the company has garnered nearly $2 billion in equity capital and an additional $2 billion loan commitment from the Department of Energy. This puts Redwood in a robust position to not only execute its growth strategies but also to innovate in creating a closed-loop battery materials supply chain.

A Strong Vote of Confidence from Investors

The round witnessed participation from existing strategic and financial investors, underscoring their continued confidence in Redwood’s mission. New entrants, like OMERS, Caterpillar Venture Capital, and Microsoft’s Climate Innovation Fund, among others, also joined the round. Sebastien Gagnon, a Managing Director in Private Equity within Goldman Sachs Asset Management, praised Redwood for its unique position in accelerating the electrification trend and its significant role in the ongoing energy transition.

Redwood’s Battery Belt Expansion and Job Creation

In December 2022, Redwood made waves when it announced its next Battery Materials Campus, strategically located in the “Battery Belt” just outside of Charleston, South Carolina. This facility aims to generate over 1,500 jobs, inject $3.5 billion into the local community, and eventually produce 100 GWh of battery components per year—enough to power over one million electric vehicles.

Redwood’s ambitious plans and robust funding signify its commitment to redefining the battery materials landscape, all while promoting sustainability and reducing the United States’ dependence on foreign battery materials. The future looks electrifyingly bright for Redwood and the American battery supply chain.