Nissan sells battery business to Chinese investor

August 08, 2017 // By Christoph Hammerschmidt
In a move to strengthen its focus on vehicle development, Japanese carmaker Nissan announced to sells its entire battery production activities, including all related facilities. The automaker said he had entered the final phase of the sale of his battery branch AESC to Chinese financial investor GSR Capital. However, Nissan will continue to purchase GSR batteries.

The planned sale includes all AESC's existing battery manufacturing sites in Smyrna, Tennessee, and Sunderland, UK. Likewise, the company’s Japan-based battery production in is included into the deal. Financial terms were not published.

 

"This is a win-win situation for AESC and Nissan," said Nisan's chief executive, Hiroto Saikawa, "This sale will enable AESC to leverage GSR's network and GSR's global proactive investments to expand its customer base and to improve its competitiveness, thereby also improving the competitiveness of Nissan's electric vehicles business." AESC will remain an important partner for Nissan, Saikawa stressed. "We will focus even more on the design and manufacture of market-leading electric vehicles," the Nissan CEO announced.

The President of GSR Capital, Sonny Wu, said: "The acquisition of AESC represents a significant step for us in the development and manufacture of vehicles with alternative drives. We plan to invest further in research and development Existing production capacities in the United States, the UK and Japan, and we want to build new plants in China and Europe, which will enable us to better serve our customers around the world." With the acquisition of AESC, GSR Capital claims to have a very good starting position in the growth market of battery technology.

To enable the sale, Nissan will initially acquire the 49% stake held by the Japanese battery company NEC to AESC. In addition, Nissan will also fully take over NEC's electrode production, which is outsourced to NEC Energy Devices. NEC announced to agree to the sale of its AESC shares in Nissan. The joint venture had established Nissan and NEC in 2007 to develop and produce particularly suitable lithium-ion batteries for use in electric vehicles.