Altech Batteries secures €2.5 million funding

PERTH: Altech Batteries Limited (ASX: ATC) announced Monday it has reached an agreement with major shareholder Deutsche Balaton AG to secure up to €2.5 million ($2.7 million) in funding through interest-bearing bearer bonds.

The move aims to advance the company’s CERENERGY® sodium chloride solid-state battery and Silumina Anodes™ projects without diluting shareholder value. 

The funding, structured as bearer bonds with a 7% annual interest rate, will be secured against Altech’s land in Johor, Malaysia, which is currently listed for sale. Proceeds from the land sale are expected to cover the bond repayment, due by Oct. 31, 2026. Shareholders will vote on the agreement at a general meeting slated for late April. 

Altech’s CERENERGY® batteries, developed in a joint venture with Germany’s Fraunhofer Institute, are marketed as a fireproof, lithium-free alternative for grid storage, while its Silumina Anodes™ technology promises 30% higher energy density for electric vehicle batteries. Both projects are based in Saxony, Germany. 

“This financing allows us to progress critical initiatives while minimizing equity dilution,” said Managing Director Iggy Tan. The company also noted ongoing discussions with automakers and battery suppliers for its silicon anode product.