Our Next Energy raises $300M Series B for batteries
Our Next Energy, a battery developer founded by Apple's former head of energy storage, closed a $300 million Series B at a $1.2 billion post-money valuation.
Why it matters: Our Next Energy is manufacturing longer-range batteries in the U.S. that don't depend on problematic commodities like cobalt and nickel.
Details: Fifth Wall and Franklin Templeton led the all-equity round.
- Temasek, Riverstone Holdings, Coatue, AI Capital Partners and Sente Ventures joined as new investors.
- Richard Piliero, a managing director at Franklin Templeton, will join ONE's board of directors.
Of note: The Series B includes a $62.5 million convertible note that ONE closed in January 2022.
- The note was led by BMW i Ventures. Assembly Ventures, Breakthrough Energy Ventures, Coatue, Flex, and Volta Energy Technologies joined.
- The state of Michigan, where the company is based, also provided $220 million in grants, bringing the total capital raised past $500 million.
What's happening: ONE began delivering its Aries battery this year for commercial vehicles, namely delivery vans.
- It ultimately aims to deliver about 600 miles of range with a lithium-iron-phosphate battery that requires neither nickel nor cobalt, the company says.
- Cobalt is intertwined with child labor. Nickel mining is associated with deforestation, and smelting it causes major greenhouse gas emissions.
What's next: The company's planned gigafactory in Van Buren Township, Michigan, is expected to be complete next year.
- It's aiming to deliver the next iteration of batteries, called Gemini, in 2026.