SK Continental E-motion Launches Global Battery Business
Lithium-ion battery joint venture SK Continental E-motion is now a reality and is already hard at work.
SK Continental E-motion officially started operations this January following the approval of the relevant authorities.
The company, which was established by SK Innovation, Seoul (South Korea), and Continental, Hanover (Germany), jointly develops, produces and distributes lithium-ion based battery systems for cars and light commercial vehicles.
“Bringing together the capabilities of both companies opens up completely new options for the future of mobility. SK Continental E-motion’s battery systems will be among the most advanced designs in the global automotive market,” said Ja Young Koo, President & CEO of SK Innovation.
SK Innovation has a 51 percent stake in the new company while Continental owns 49 percent. Both Continental and SK Innovation plan to invest about 270 million Euros in SK Continental E-motion for the next five years.
“The synergies generated by Continental’s extensive systems expertise and automotive engineering skills together with SKI’s technological leadership in battery cells and separators will enable us to make SK Continental E-motion one of the world’s leading suppliers of battery systems,” said Dr. Elmar Degenhart, chairman of Continental’s executive board.
The business strategies of SK Innovation and Continental will not be affected by their joint management of this new venture and both companies will continue to supply their customers in the automotive industry with their complete product range.
SK Continental E-motion started working on initial development programs in the 48V mild hybrid segment as well as for commercial vehicle applications.
SK Innovation brings its expertise in the development of battery cells and separators while Continental brings its experience in battery-related electronics, complete battery systems as well as their integration into vehicles.
SK Continental E-motion will employ around 220 people worldwide, sourced in almost equal proportions from the two partner companies.
The venture, which is managed operationally from Berlin, began operations on January 2, 2013.
The fully integrated teams will work on a global development footprint based at locations in Berlin, Germany and Daejeon, Korea.