Exclusive: Battery tech startup Lohum raises $23 Mn in ongoing Series B

Producer of clean energy transition materials through battery recycling and repurposing, Lohum Cleantech has raised $23 million in its Series B1 round led by Baring Private Equity Partners. This round materialized in August last year and seems to be an older one  has raised more capital since as part of a separate round, sources said.

The round also saw the participation of Cactus Partners, Chhattisgarh Investment Limited, Ventureast Proactive Fund, Michael B Schwab Living Trust, Singularity Growth, Stride Ventures, and several angel investors including, Anish Vora, Kunal Babani, Manas Tondon, et al.

The board at Lohum has passed a special resolution to issue 1,993 Series B1 CCPS at an issue price of Rs 9,42,467 each to raise Rs 188 crore, its regulatory filing sourced from the Registrar of Companies shows.

Baring Private Equity led the round with Rs 70 crore while Cactus Partners and Ventureast Proactive Fund poured in Rs 30 crore and Rs 32 crore, respectively while the rest came from other investors.

The six-year-old company will use these funds to meet capital expenditures, marketing, and general corporate business as decided by the board of directors, the filing added.

Following the fresh proceeds, Baring Equity holds 5% of the company while Cactus Partners and Ventureast Proactive Fund command 3.1% and 3.2% stake respectively.

Lohum is one of the largest producers of sustainable energy transition materials through integrated battery recycling & raw material refining and battery repurposing. As per Lohum, its lithium-ion battery material recycling and extraction technology regenerates top-quality materials and produces zero waste. It repurposes EV batteries to make second-life energy storage systems (ESS) for renewable energy storage and grid stabilization. 

The company's Detex battery price index makes it easy to determine accurate prices of battery materials and provides future buyback prices.

The company had previously raised $7 million in January 2021 and it was reportedly in talks to raise $100 million in Series B round.

Lohum showed an impressive financial performance surging its revenue 2.9X year-on-year to Rs 308 crore in FY23 from Rs 106 crore in FY23. The company also posted a profit of Rs 8.88 crore in the same period.

Update: The story has been updated to include more information provided by Lohum's spokesperson.