Keppel acquires minority stake in EV battery business for $68 mil

Keppel acquires minority stake in EV battery business for $68 mil

By: 
Michelle Zhu
01/04/19, 05:52 pm

SINGAPORE (April 1): Keppel Corporation, through its wholly-owned subsidiary KepVenture, is investing US$50 million ($67.7 million) for a minority stake in Envision AESC Group.

Envision AESC Group is an intelligent lithium-ion battery company which is 80:20 owned by China’s Envision AESC Holding and Japanese automobile manufacturer Nissan. It recently acquired Automotive Energy Supply Corporation (AESC), a former venture between Nissan Motor Company and Blackstone-owned NEC Group. It also wholly owns NEC Energy Devices, a battery electrode manufacturing company owned by NEC Corporation.

According to Keppel, Envision AESC Group has a capacity of 7.5GWh and a workforce of 1,400 employees across Japan, the US and the UK – and is in the midst of expanding its production into China, while “engaging various global automakers to grow its customer base”.

In its filing on Monday, Keppel says its co-investment with Envision is in line with the group’s efforts to deploy innovative concepts in its solutions for sustainable urbanisation.

Both Keppel and Envision are working to introduce Internet-of-Things (IoT) enabled storage devices that can help smart buildings and smart grids to become more energy efficient – while also exploring other potential areas of collaboration to create new solution for smart cities and renewable energy, among others.

“This investment in the electric vehicle (EV) battery businesses is part of our strategy to expand the Keppel Group’s energy solutions with cleaner fuel sources and renewables,” says Loh Chin Hua, CEO of Keppel.

“We are pleased to partner Envision on a platform that will deepen our insights into the fast-growing EV market, and where we can explore opportunities to apply smart energy storage devices to enhance the safety and carbon efficiency of the Keppel Group’s solutions for sustainable urbanisation,” he adds.

Shares in Keppel Corp closed 1.45% higher at $6.31 on Monday.

Jokowi declared winner a month after Indonesia presidential vote

(May 21): Indonesian President Joko Widodo won last month’s bitterly contested election by a double-digit margin, official results showed Tuesday, putting the former furniture exporter in charge of the world’s largest Muslim-majority nation for another five years. Widodo, known as Jokowi, won 55.5% of the national vote, compared to his challenger Prabowo Subianto’s 44.5%, the General Elections Commission said in Jakarta early on Tuesday. Jokowi’s margin of victory at 11% was almost double the lead he secured in 2014 against the same opponent, commission’s data showed. The tally al....
Read More >>

Sembcorp Industries' near-term outlook hinges on sustained India uptrend, say analysts

SINGAPORE (May 21): CGS-CIMB Research and DBS Vickers Securities are maintaining their “add” and “buy” calls on Sembcorp Industries (SCI) with target prices of $3.41 and $3.90, respectively. This comes after the group last week posted 21% higher 1Q earnings of $77 million on higher contributions from its energy segment, which was mainly driven by improved performance from India and the recognition of peak winter availability payments for UK Power Reserve. In a May 15 report, CGS-CIMB analyst Lim Siew Khee says she considers SCI cheap at $2.54, which is 0.6 times FY19 price-to-boo....
Read More >>

China warns about 'unwavering resolve' to fight 'US bullying'

BRUSSELS (May 21): China could retaliate against the US after President Donald Trump blacklisted Huawei Technologies Co., the Chinese ambassador to the European Union said. Trump upped the ante in his trade dispute with China last week, announcing moves to curb Huawei’s business that are starting to have ramifications for other companies around the world. "This is wrong behavior, so there will be a necessary response," Zhang Ming, China’s envoy to the EU, said in an interview in Brussels on Monday. "Chinese companies’ legitimate rights and interests are being undermined, so the Chi....
Read More >>