SEOUL, Sept. 14 (Korea Bizwire) — SK Materials Co., a semiconductor and display material unit under SK Group, said Tuesday it will team up with U.S.-based Group 14 Technologies to build a lithium-ion battery material factory in South Korea.
SK Materials and Group 14 Technologies will launch a 75-25 joint venture later this month to build an 850 billion won (US$725.6 million) factory for silicon anode, a major component of electric vehicle batteries.
The joint venture will break ground for the plant in Sangju, 270 kilometers southeast of Seoul, next month with a goal of starting commercial productions next year, SK Materials said.
Group 14 is a global provider of lithium-silicon battery materials designed to enhance the energy density of batteries, and operates a manufacturing factory in Washington.
SK Inc., the investment and holding company of SK Group, last month said it will take over SK Materials in corporate restructuring as the nation’s No. 3 conglomerate has been ramping up investment in the battery business to target the growing EV market.
The merger is expected to be finalized in December after receiving approval from the companies’ shareholders next month.