NEU Battery Materials closed an oversubscribed $7.6 million funding round to scale its lithium iron phosphate battery recycling technology and expand production of battery-grade lithium. The round was co-led by Shift4Good and SGInnovate.
New investors included Lotus Singapore Group and M7 Holdings, while existing investor Paragon Ventures I also participated.
The financing follows the commissioning of NEU’s new 1,300-ton-per-year factory in Singapore, marking the company’s transition from technology development toward industrial-scale operations.
NEU plans to use the capital to ramp production of battery-grade lithium recovered from LFP feedstock, including cathode production scrap and end-of-life black mass.
The company will also use the funding to support international expansion.
NEU focuses specifically on recycling lithium iron phosphate batteries, which have become increasingly important across electric vehicles and battery energy storage systems.
According to the company, citing International Energy Agency data, LFP chemistry accounts for more than 90% of battery energy storage systems globally and more than 55% of electric vehicle batteries.
NEU has developed a patented electrochemical redox targeting process designed specifically for LFP battery recycling.
The company said its technology uses electricity and water along with regenerative chemicals to recover lithium while generating less waste than conventional approaches such as hydrometallurgy and pyrometallurgy.
NEU said its process can cut emissions by up to 83% compared with conventional recycling methods.
The company is positioning its technology to strengthen lithium supply chain resilience while supporting industrial sovereignty and decarbonization.
With its Singapore facility now operational, NEU plans to increase production, further reduce production costs, and expand its network of commercial and strategic partners.
The company said its R&D roadmap has already delivered several technical milestones ahead of schedule, providing a foundation for broader international deployment.
KEY QUOTES:
“Our vision is to build cleaner and more resilient lithium supply chains for the ongoing energy transition. The commissioning of our Singapore plant is an important milestone in that journey. The funding will catalyse the scale-up and deployment of our modular LFP recycling technology, enabling us to expand the production of vital battery-grade lithium, and at progressively lower costs to our customers.”
Bryan Oh, Co-Founder and CEO of NEU Battery Materials
“LFP battery recycling is both a decarbonisation and an industrial sovereignty imperative. NEU has developed a differentiated solution to recover battery-grade lithium from LFP feedstock and is now entering a new phase of industrial scale-up, thereby helping build more resilient supply chains.”
Sebastien Guillaud, Co-Founder and Managing Partner at Shift4Good
“NEU plays a strategic role in the battery value chain, and we remain committed to supporting its growth.”
Hsien-Hui, Head of Investments at SGInnovate
