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Battery maker ACC raises US$4.7 billion in debt
Key player in European sustainable mobility to fund lithium-ion cell gigafactories, R&D
The Asset 16 Feb 2024

European battery maker Automotive Cells Company (ACC) closed a €4.4 billion (US$4.7 billion) debt raising, increasing the funding for the construction of three gigafactories for lithium-ion battery cell production in France, Germany and Italy, as well as, for R&D.

This operation will accelerate the development of ACC and strengthen its position as a key player in the battery industry to equip high-performance, low-carbon electric vehicles. In December 2023, the company started production for Stellantis at its Billy-Berclau Douvrin gigafactory in France.

This success paves the way for further industrial developments to meet demand, marked by the start of construction of the second block on the French site, before launching the construction of the first block in Germany and the double block in Italy.

The debt package will contribute to finance these capacities and is fully underwritten by a consortium of commercial banks – BNP Paribas, Deutsche Bank, ING and Intesa Sanpaolo – and supported by Bpifrance, Euler Hermes and SACE. BNP Paribas acted as exclusive financial adviser to ACC.

ACC’s three shareholders – Stellantis, Mercedes-Benz and Saft – showed their engagement, the battery maker says, by working together with the company and participating in a capital increase to ensure its success. By the end of March 2024 and with the next capital injection, Stellantis will own 45% of ACC’s shares, Mercedes-Benz 30% and Saft 25%..

Stellantis and Mercedes-Benz confirm their commitment as leading shareholders and customers of ACC’s battery modules. They have agreed to modify ACC’s capital shareholding and plan to progressively increase their equity stakes in the battery maker. Saft, a wholly owned subsidiary of TotalEnergies, is committed to continuing to work with ACC, it notes, as a long-term shareholder and by adding its technological know-how.

“The transition to the electrification of vehicles is still on the way,” says Yann Vincent, the battery maker’s CEO. “To meet this immense challenge, our customers must be able to rely on robust and reliable European players like us who are capable of delivering high volumes of competitive batteries with a low CO2 [carbon dioxide] footprint.”

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