Short : Gujarat Fluorochemicals’ electric vehicle (EV) arm has successfully raised ₹1,000 crore to bolster its operations and expand its presence in the electric mobility sector. This significant funding will be utilized to enhance production capabilities, develop advanced battery technologies, and support the company’s growth in sustainable energy solutions.
Detail : The funds will be utilised for the capex requirements of the company as it scales up to capitalise on the large-scale global opportunities in the electric vehicles, energy storage systems space.
Gujarat Fluorochemicals (GFL) said on Wednesday that its subsidiary, GFCL EV Products (GFCL EV), will raise ₹1,000 crore at an equity valuation of around ₹25,000 crore.
The promoters of the INOXGFL Group led the round in the fundraise along with several marquee investors, including the family offices of some of the largest business groups in India. GFL is part of the INOXGFL group.
Capex requirements
The funds will be utilised for the capex requirements of the company as it scales up to capitalise on the large-scale global opportunities in the electric vehicles (EVs)/energy storage systems (ESSs) space.
GFCL EV has fully integrated manufacturing capabilities with backward integration into AHF, LiF and captive fluorspar. Its current product portfolio, catering to both EV & ESS ecosystem, includes battery chemicals, cathode active materials (LFP) and binders (both PVDF and PTFE).
GFCL EV, with its diversified battery materials offerings and strong credentials, aims to capitalise on the opportunities arising on the back of the Inflation Reduction Act (IRA) in the US and the strategic diversification globally of supply chains away from a single origin country.
The global opportunity for the EV battery chain is estimated to reach $300 billion by 2030. The projected increase in the global lithium battery demand from around 1,100 GWh to 5,000-6,000 GWh by 2030 will lead to significant demand for the battery materials which GFCL EV caters to.
