Neu Battery Materials raises $7.6 million for lithium recycling

Neu Battery Materials, a lithium-ion battery recycling startup, has raised US$7.6 million in an oversubscribed funding round. The investment was co-led by Shift4Good and SGInnovate, with participation from new investors Lotus Singapore Group and M7 Holdings, as well as existing investor Paragon Ventures I.

The funding coincides with the commissioning of the company’s new recycling facility in Singapore, which is capable of processing 1,300 tonnes of scrap materials from lithium-ion battery manufacturing annually. The company intends to use the capital to scale its modular lithium iron phosphate (LFP) recycling technology, increase the production of battery-grade lithium, and support international expansion.

Neu Battery Materials is developing a patented electrochemical redox targeting technology designed to recover lithium from LFP batteries. This process aims to be more sustainable than conventional hydrometallurgy or pyrometallurgy methods, potentially reducing emissions by up to 83% through the use of electricity, water, and regenerative chemicals.