Battery manufacturing and recycling firm Lohum raises Rs 119Cr led by Singularity Growth, others

Battery manufacturing and recycling firm Lohum has raised Rs 119 crore ($14 million) in its latest funding round, led by investment firm Singularity Growth.

Vyoman India, Baring Private Equity, and individual investors Mukul Mahavirparasad Agarwal and Madhuri Madhusudan also participated. The firm will infuse the raised capital towards marketing, capital expenditure, and general corporate purposes.

Participation of existing investors 

The funding round not only attracted new investments but also reinforced the confidence of existing backers, including Baring Private Equity Partners and Singularity Growth.

Post-funding, Lohum's valuation soared to approximately Rs 3,470 crore ($422 million). The round will also significantly increase the stakes of Baring Private Equity, Cactus Partners, and Singularity Growth in the company.

Recycling and repurposing of lithium-ion batteries

Lohum specializes in recycling and repurposing of lithium-ion batteries. With a vision to enhance its recycling capacity to 1 million units per annum, the company is on a fast track to expansion. Its foray into Nepal and plans to supply electric vehicle battery materials to various firms underscore its commitment to scaling operations and its footprint in the clean energy domain.

Technological innovation and environmental impact

Lohum uses lithium-ion battery material recycling and extraction technology in its operations. According to the company, This technology not only ensures the production of top-quality materials but also champions a zero-waste ethos.

It repurposes EV batteries into second-life energy storage systems.

How well Lohum is performing financially?

Lohum's financial performance has been impressive, with a revenue surge of 2.9X to Rs 308 crore in FY23 from Rs 106 crore in the previous fiscal year. The company also reported a profit of Rs 8.88 crore, highlighting its strong market position and operational efficiency.