Previously, attracting investment and improving the ability to provide finance had proved to be a bottleneck in the early stages of Greatpower’s development, when it expanded the business from trading to manufacturing. But September’s decision to sell a 4.8% stake in the company to South Korean battery manufacturer LG Energy Solution (LGES) for 35 billion Won ($29.98 million), has put Greatpower on the investment map.
And, as if to demonstrate that, just before the interview, Cao was bombarded by calls from investors, banks and municipal delegations interested in the Shanghai-headquartered company.
Part of the deal with LGES was an offtake agreement whereby Greatpower will supply the South Korean company with 20,000 tonnes of (nickel contained) nickel sulfate over a six-year period.
This is the first time that LGES has invested directly in the battery materials supply chain in China, Cao told Fastmarkets.
“This deal shows...