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Samsung SDI Buys GM Stake in Indiana Battery Venture

The move lets Samsung shift the New Carlisle plant toward energy storage in response to softer US EV demand, preserving a separate R&D agreement with GM.

Overview

  • Samsung SDI disclosed in a regulatory filing that it will acquire General Motors’ 49.99% stake in the SynergyCells joint venture, a transaction first reported on Tuesday, August 11.
  • The purchase will convert the New Carlisle, Indiana site into Samsung SDI’s first wholly owned North American battery plant, and construction work on the site remains under way.
  • Samsung SDI plans to initially prioritize production of batteries for energy storage systems and said the facility could later make EV prismatic cells if demand recovers.
  • The two companies signed a joint development agreement to co-develop next-generation prismatic EV batteries, and GM will keep a development and likely supply relationship despite selling its equity stake.
  • Company statements link the change to weaker-than-expected US EV demand after the federal tax credit ended, leaving job counts, production timing and the purchase price unspecified and creating short-term flexibility for suppliers and automakers.