Sila has raised $375 million in a Series G round to wrap-up construction on a large battery materials plant in Moses Lake, Wash. The facility will produce Sila’s Titan silicon, which can replace graphite in battery anodes for electric vehicles. The change increases energy density by up to 25%, allowing faster charging and longer usage for EVs, the company says.
Sila aims to cut EV charging time to less than 10 minutes and lower the per-kilowatt hour cost of batteries. Mercedes-Benz is the first customer of the plant.
“The industry needs to take the next big step on battery performance and charging speeds,” said Sila’s Gene Berdichevsky, a former Tesla executive. Another advantage: Silicon can be sourced domestically, qualifying for US tax credits, while most graphite is mined in China.
Battery performance
Lead investors in the round include Sutter Hill Ventures and funds and accounts managed by T. Rowe Price Associates. Bessemer Venture Partners, Coatue, Perry Creek Capital and others also participated. The fundraise may set up Sila for a public offering — the startup was on PitchBook’s list of 10 climate tech companies most likely to IPO (EV battery makers Northvolt, Verkor and Lyten also made the list).
Battery tech and recycling continues to attract venture capital (see, “Battery recyclers are raising money and ramping up for retired EVs”).
Sila has raised more than $1.3 billion from private investors and $100 million from the US Department of Energy. A competitor, Seattle-based Group14 Technologies, has also raised big rounds in the race for better performing lithium-ion batteries.
