UK-based Anaphite, which specialises in production technology for battery electrodes, has raised £11.2m in Series A funding. The round funding was co-led by World Fund, Europe’s leading climate VC, and Maniv, a global early-stage VC focused on decarbonisation of transportation and digitisation of its value chains.
A cohort of top climate investors also joined, including Japan’s only venture capital firm exclusively focused on the environment and energy sectors EEI, and UK innovation agency, Nesta, with further participation from existing investors Elbow Beach Capital, which led the £1.6m round earlier this year and Wealth Club.
The fresh capital injection will enable Anaphite to scale up and expand their in-house dry coating capability, and fully commission a plant with the capacity to deliver tonnes of the company’s patented composite cathode material. The funding will also support extensive new hires and further R&D investment to expand its technology portfolio.
Battery costs remain a major hurdle for large-scale EV adoption, typically accounting for up to 30% of the total vehicle cost. Reducing battery production costs is crucial for bringing down EV prices and increasing affordability.
The traditional wet-coating process used in battery manufacturing is energy-intensive and relies on harmful solvents. Anaphite introduces a unique chemical compositing process, delivering a proprietary “precursor powder” that ensures reliable dry coating for high speed, high performance electrode production.
Dry coating with Anaphite technology has the potential to save about 30% of the energy usage and 15% of factory floor space traditionally used in cell manufacturing. This approach greatly reduces the cost and environmental impact of making a lithium-ion battery. Moreover, by dramatically reducing the energy required for electrode manufacturing, up to 90%, Anaphite will fundamentally alter the carbon profile of electric vehicles.
Anaphite started out as a student passion project for Sam Burrow and Alex Hewitt, who met at the University of Bristol. They initially worked on developing methods of incorporating graphene into metal oxide composites, and soon identified lithium-ion batteries as an ideal application for their technology.
In 2018, the duo filed for their first patent and moved into an incubator lab, Science Creates, to work on developing their process. By 2021 they had applied their technology to lithium-ion battery cell electrodes and proved the application of their composites in dry coating feasibility trials with the University of Warwick.
In 2022, the company raised £4.1m in funding and hired Joe Stevenson, the former Johnson Matthey commercial strategy director, as its CEO.
