23 June 2016
BDA advises Silatronix on equity capital raise and new Asian partnerships
Equity capital raise and new Asian partnerships
BDA Partners is pleased to announce that its client Silatronix, a leader in development of unique organosilicon (OS) materials for use in lithium-ion batteries (LiB), has raised new equity capital, and secured partnerships for distribution and joint technological development. These funds and partnerships will allow Silatronix to capitalize on the commercial value of its portfolio of OS materials in the high growth LiB market. BDA is acting as exclusive financial advisor to Silatronix.
The capital comes from existing Silatronix investors and two strategic partners in Japan with strong business interests in the LiB market, Hitachi Chemical Co Ltd and Inabata & Co Ltd. Inabata will serve as Silatronix’s exclusive distributor to key LiB customers across Asia, and Silatronix and Hitachi Chemical will jointly evaluate the potential performance benefits of several OS additive materials with Hitachi Chemical’s LiB products, especially anode materials.
Silatronix has introduced its first commercial product, OS3, an advanced functional solvent that provides multiple benefits to LiB performance at additive levels. In LiB electrolytes, OS3 inhibits breakdown of LiPF6, is thermally and electrochemically stable, and has minimal side effects on battery performance. Silatronix is making significant progress with multiple customers, many based in Asia, that cover a range of LiB applications, including consumer electronics, industrial products, automotive, and military. As part of its operational scale up to commercialize OS3, Silatronix is currently formalizing relationships with strategic suppliers, expanding facilities in its Madison, Wisconsin operations, working with Inabata to increase market presence, and hiring key operating personnel.
Mark Zager, CEO of Silatronix, commented, “The path to large scale commercialization at Silatronix is increasingly visible. We are helping the market develop batteries with improved safety, performance, and stability. The Silatronix management team and employees are invigorated by our recent developments. We’re increasingly optimistic about the prospects for Silatronix in the coming years.”
David Dorheim, Chairman of Silatronix, said, “We are pleased to have made substantial progress on numerous business fronts. Our equity capital raise met with strong demand, and was well received by the market and our existing shareholder base.”
Euan Rellie, Co-Founder of BDA, said, “We’re pleased to be advising Silatronix, which is a key emerging player in the global battery materials market. We are enjoying the opportunity to introduce best-in-class Asian partners as well as capital, which together are accelerating Silatronix’s path to commercial success. We’re proud to work for a leader straddling the specialty chemicals and technology sectors.”
Silatronix is commercializing a new class of patented materials based on organosilicon (OS) compounds for use in energy storage devices, especially electrolytes for lithium-ion batteries (LiB). OS compounds are environmentally friendly, non-flammable, high temperature materials suited for use as electrolytes, binders, and coatings in energy storage devices. In Li-ion batteries, these materials can enhance thermal stability and safety, enable use of high energy density anodes and high voltage cathodes, and be cost effectively produced using existing manufacturing processes for silicone polymers. www.silatronix.com
BDA Partners is a leader in cross-border investment banking involving Asia. BDA advises on M&A, capital raising, and restructuring. BDA has been consistently owned and managed by the same team since 1996. BDA has a track record of providing independent advice to blue-chip corporate and financial sponsor clients from North America, Europe, and Asia. BDA is headquartered in New York with offices in London, Dubai, Mumbai, Ho Chi Minh City, Hong Kong, Shanghai, Beijing, Seoul, and Tokyo. BDA was named M&A Advisory Firm of the Year at The ACG Champions Awards in 2015. BDA formed a partnership with William Blair & Company in 2011.
BDA carries out its US securities business through BDA Advisors Inc, a broker-dealer registered with the US Securities and Exchange Commission (SEC) and a member of FINRA and SIPC. BDA’s UK subsidiary is authorised and regulated by the Financial Conduct Authority. BDA’s HK subsidiary is licensed and regulated by the Securities & Futures Commission.
Debt and equity restructuring
Acquired by Koura
Divested Amazon Papyrus Chemicals Group to The Longreach Group
Divested China phenolic resins plant to Red Avenue
Divested Epolin Chemicals to Chroma Color
Divested Asian electronic cleaning chemicals business to Nippon Kayaku
Divested Chrysal International to OAT Agrio Ltd
Divested plant health business in Japan to Nisso
Divested Indian emulsion polymer business to Apcotex Industries
Cristal (Saudi Arabia) agreed to acquire Jiangxi Tikon TiO2 (China)
Sold stake in An Giang Plant Protection to Standard Chartered
Divested a majority stake to Navis Capital Partners
Acquired the organic pigment business of Jiangsu Multicolor
Divested Continuous Filament Mat business to Stonewood Capital
Divested Shanghai subsidiary to CPIC, China
Acquired Changzhou Pulanna Coating Co Ltd
Divested Kiian SpA, a specialty inks manufacturer, to Wise and Alcedo
Divested building materials business of Henkel Korea to Mapei of Italy
Acquired Lablndia distribution business in India
Divested Eliokem to Omnova