Mirae Nanotech (MNtech) has begunto acquire Korea Metal Silicon (KMS). Acquiring KMS allows MNtech to expand its business to the secondary battery cathode and anode material basic material business.
MNtech is in the process of acquiring KMS. The outcome of process will be known as early as the end of the month or as late as early next month.
KMS was found in 2008 as a secondary battery basic material company. It has supplied silicon powder, which is a material for silicon anode for secondary batteries, to domestic and foreign battery companies. The company will not only supply silicon anode materials but also metal silicon, a material for next-generation lithium metal batteries, to domestic and foreign companies.
MNtech plans to expand its rechargeable battery material business by acquiring KMS. MNtech acquired an 85% stake in JNK (now Mirae Advanced Materials) for KRW 36.5 billion in January, and entered the cathode material business. Mirae Advanced Materials is an affiliate of MNtech that processes and supplies raw materials for cathode materials, such as lithium hydroxide, zirconium, and tungsten. It supples these products to domestic battery manufacturers.
MNtech will improve domestic and overseas expansion investment, and enhance next-generation battery material portfolio for the growth of the secondary battery market. It will invest KRW 70 billion to expand lithium hydroxide production capacity by 2023, and the lithium hydroxide production is expected to grow more than triple from this year’s 5.3 billion tons.
MNtech promotes to construct production facilities in the US and Europe. It is anticipated to build base materials for cathode and anode in the US and Europe. MNtech will also enhance its basic material business for anode for the next-generation lithium metal batteries. KMS has a business site for silicon oxide materials, which are silicon-based anode materials, and lithium metal battery materials.
An official from MNtech said, "We are expanding our business to secondary battery materials with great growth potential as the optical film market is at its peak. We are optimistic in the growth potential of KMS’ business of basic material for anode.”
By Staff Reporter Ji-woong Kim (jw0316@etnews.com)