Why we invested in Anaphite

Why We Invested in Anaphite - the company reducing the cost of EV batteries by up to 10% 

We need cheaper EVs. Millions of people are avoiding buying electric cars because they’re too expensive, and it’s delaying the transition to the eco-mobility future we urgently need. Making cheaper EVs relies on cutting battery costs, and here the UK-based company Anaphite has made a breakthrough. 

Anaphite has patented chemistry-based battery electrode production technology that reduces the cost of EV batteries by 5-10% - independent of the battery chemistry. The company has already proven the technology’s capability in lithium-ion battery production, and it will also be applicable to a wide range of new battery technologies, including sodium-ion and solid state. 

This means that, delivered at scale, Anaphite’s technology can reduce both the cost of EVs and of stationary storage, making owning an electric car more affordable and turbocharging market adoption.
At World Fund, we focus on the technologies with the power to help deliver a regenerative future. Anaphite is one of them. 

‍How the technology works and why it’s already appealing to global manufacturers 

Electrode manufacturing has historically been challenging and expensive, and has been a sticky cost driver in battery production for decades. But now Anaphite has developed a unique chemical compositing process for making "precursor powders", one that ensures reliable dry coating for high speed, high performance electrode production. 

Crucially, these powders make dry coating stick to cathodes without intense energy use, partly because they don’t require drying. This immediately cuts around 90% of the energy traditionally required to make electrodes. Using Anaphite’s powders also allows firms to save around 15% of factory floor space traditionally used in cell manufacture, helping reduce costs while cutting carbon footprints.

Adopting Anaphite’s product also doesn’t require manufacturers to rebuild entire facilities - it only requires a minor modification to the production line - meaning this is a solution that can quickly cut emissions at scale.

A talented, market-savvy team with scientific expertise and enormous potential

Anaphite was founded in 2018 by chemist Sam Burrow (CTO) and physicist Alexander Hewitt (COO). The co-founders met as students at the University of Bristol, where Sam spent his spare time working on developing methods for homogeneously incorporating graphene into metal oxide composites. The duo then identified lithium-ion batteries as an ideal application for the technology, and launched Anaphite. 

This approach is one of the things we love about Anaphite. To really improve battery processing, it’s essential to understand the chemical composition and interactions in the battery materials. Anaphite’s team has a unique blend of expertise in both chemistry and process, which has enabled them to do things that others haven't even envisioned. Sam created this wonderful technology, and Alex pushed its application into batteries. 

The team’s exceptionally pragmatic and future-focused mindset is another key asset. Alex and Sam brought in Joe Stevenson as CEO in 2022 when they were looking to scale and reach customers. Joe is an experienced commercial lead at the helm of the company, and has helped Anaphite progress to the next level. This type of foresight is absolutely essential when creating new technology companies, where’s the next gap and how to fill it, and puts them in the best position to scale quickly.

Why we’re confident in Anaphite can scale globally 

We were proud to co-lead a $13.7 million Series A funding round into Anaphite this month, and are extremely excited to support Alex, Sam, Joe and the team as they scale.

We invested because we are confident that Anaphite has the potential for exponential growth. The company is tapping into an industry that is actively looking for sustainable, technologies to lower battery electrode costs, and the team has already proven it can secure contracts with global car and battery cell manufacturers. These companies have the highest quality requirements and they are choosing Anaphite. Now, the opportunity ahead is truly global.

The scale of Anpahite’s ambition and potential is also clearly reflected in the consortium of the Series A. We’re experienced investors based all around the world, from our round co-leads Maniv in the US/Israel, to EEI in Japan, and Nesta in the UK. We all believe this company has what it takes to win across geographies.
Anaphite will now use its new funding to grow the team, invest in further R&D, and build capacity to deliver their process technology globally.  

This company is setting new standards for battery production and can help us reach a decarbonised future faster and more efficiently. We're looking forward to helping Anaphite’s technology go global and reduce the costs of the entire battery industry to the benefit of all.

To find out more, please contact: ‍

Craig Douglas‍

Partner

craig@worldfund.vc