Ideanomics (IDEX) Stock: Why It Increased Over 7% Today

By Amit Chowdhry ● Jun 23, 2022
  • The stock price of Ideanomics Inc (NASDAQ: IDEX) increased by over 7% during intraday trading today. This is why.

The stock price of Ideanomics Inc (NASDAQ: IDEX) increased by over 7% during intraday trading today. Investors are responding positively to InoBat Auto, the European pioneering supplier of premium batteries for electric vehicles, in cooperation with Ideanomics, a global company focused on accelerating the adoption of commercial electric vehicles (EV), planning to embark upon a phased investment project based in Indiana, USA, in 3 stages. 

First, the companies will open a new R&D and production facility for battery module and pack assembly with an initial annual production capacity of 100 MWh. And both parties then aim to construct a full commercial-scale battery module and pack assembly plant with an initial 2-3 GWh yearly production capacity. The first 2 phases would be supplied by cells from InoBat Auto’s European facilities. Depending on sufficient and bankable offtake agreements, InoBat Auto is also exploring the option to construct a tailor-made battery cell production facility with an initial 4 GWh annual capacity.

InoBat Auto and Ideanomics are expanding the strategic partnership established in January 2022 for developing, producing, and distributing integrated battery pack solutions for the US market. And InoBat Auto’s cutting-edge R&D capability and manufacturing model enable the rapid designing, engineering, and creation of bespoke EV battery solutions that exceed current industry standards and meet customer needs. 

InoBat Auto’s first-generation NMC 622 pouch cell achieved 25% quicker charging from 5-80% capacity, 20% extra cycle life, 6% higher capacity, 28% better capacity retention at -20°C (-4°F) than the benchmark pouch cells (with same dimensions and weight) from a globally present East Asian battery manufacturer. And the European company is already delivering their 4th generation cells to customers for vehicle prototyping purposes. These advanced battery solutions will provide a significant technological edge for Ideanomics’ vehicle, charging, and energy solutions to meet fleet operations’ growing needs for clean mobility and infrastructures.

Both InoBat Auto and Ideanomics are supported by the State of Indiana, which will provide administrative, advisory, fiscal, and site location support while putting the state in a position to be a frontrunner for battery development in the US. And the stimulation of the local economy, strong industrial focus, and potential to make Indiana a hub for sustainable mobility made Indiana a natural fit to host the previously mentioned investments and long-term vision of InoBat Auto and Ideanomics.

This commitment could also attract additional clean technology companies to the state of Indiana, including investments from InoBat Auto’s C2C (Cradle-to-cradle) value chain, such as stationary energy storage, battery recycling, and production of battery-grade recycled materials. And the parties also express a common interest in localizing other relevant suppliers in the proximity of the listed future facilities and maximizing the usage of green electricity in their facilities to comply with global Net Zero commitments.

This announcement follows InoBat Auto’s recent commercial agreement with Lilium, which is the developer of the first all-electric vertical take-off jet, becoming their exclusive battery provider. And both announcements evidence InoBat Auto’s goal to provide state-of-the-art standard and tailor-made batteries, pushing the boundaries of the global sustainability sector.

KEY QUOTES:

“I am incredibly excited to announce our plans for the new module and pack R&D and production facility in Indiana, exemplifying the valuable synergies and opportunities that our partnership with Ideanomics offers. At InoBat, we provide innovation across the entire value chain due to our “cradle to cradle” approach. Ideanomics has a similar entrepreneurial mindset to our own in terms of aiming to electrify various mobility segments and is looking to reinvent the market with innovative financing and energy solutions to drive EV adoption. This announcement is a testament to our new and thriving relationship as well as our core commitment to sustainability. Our presence in Indiana will ensure we both reach our joint target of producing exceptional commercializing standard and tailor-made battery packs for the U.S. market.”

— Marian Boček, InoBat Auto Chief Executive Officer

“InoBat’s collaboration with Ideanomics along with Indiana’s strong diplomatic and business relationship with Slovakia prove Indiana is the best possible location for InoBat’s first North American headquarters, production facility and eventual commercial-scale battery module and pack assembly plant. The Indiana Economic Development Corporation is committed to InoBat and Ideanomics and will remain a true partner through each stage of this process as we look to identify sites and negotiate a potential incentive package.”

— Brad Chambers, Indiana Secretary of Commerce

“This partnership demonstrates our continuing effort to make EV the natural mobility successor. It has been our mission to expedite the innovations needed to accelerate EV adoption. Our partnership with InoBat will secure future battery supply and create a force multiplier for technologies across our operating companies. This is another reflection of our commitment to boost clean technology job opportunities in the U.S.”

— Alf Poor, Chief Executive Officer at Ideanomics

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.