Hanover (Germany) based automotive supplier, Continental and Seoul (South Korea) based SK Innovation have signed an agreement in Frankfurt to jointly establish a company that would develop and supply first class battery technology to the automotive industry.
In the new venture, SK Innovation will hold 51% stake while Continental will hold 49%. The knowledge and expertise of both the companies will be combined to produce lithium ion batteries for cars and will be marketed globally.
The companies envisage a shift in the automotive industry to pure electric and electrically assisted vehicles owing to tough regulations pertaining to carbon dioxide emissions. Battery is a key component of electric drives. SK Innovation will provide its well established knowledge on development of battery cells, especially in regard to power or energy density. The added benefit is that SK Innovation is a leading player in the separators market. Continental has to its credit, numerous years of experience in designing and developing battery systems, particularly electronics and battery integration into vehicles. Continental already succeeded in mass production of lithium ion batteries in 2007. The venture will help solidify the positions of both companies as providers of advanced battery technology.
The operations will be carried out from Berlin and research and development will be carried out in Daejon, South Korea. Offices will be set up worldwide for marketing and sales.
Disclaimer: The views expressed here are those of the author expressed in their private capacity and do not necessarily represent the views of AZoM.com Limited T/A AZoNetwork the owner and operator of this website. This disclaimer forms part of the Terms and conditions of use of this website.