Neogen Chemicals’ subsidiary, Neogen Ionics Ltd. (NIL), has entered a joint project (JP) with Japanese corporation, Morita Investment Ltd. (MIL), to manufacture lithium hexafluorophosphate (LiPF₆) salt for lithium-ion batteries (LIBs).
The new entity, Neogen Morita New Materials Ltd. (NMNML), will be 80% owned by Neogen Ionics and 20% by of MIL. This structure guarantees that Neogen Chemicals keeps a control at interest while advantage from MIL’s expertise and global presence. The joint project agreement includes provisions for board representation, with MIL having the proper to nominate one director, offered it maintains at least a 10% equity stake. NIL will be entitled to appoint as much as 4 directors, ensuring strong governance and alignment with Neogen Chemicals’ strategic goals.
The production facility can be located in Gujarat, combining Neogen’s local presence with Morita’s 30 years technology expertise. It will target on the manufacturing, development, and sale of solid LiPF₆ salt, a essential element in the electrolytes used in LIBs.
“This partnership objectives to improve LiPF₆ manufacturing efficiency and marks one of the first Indo-Japanese collaborations within the lithium-ion battery materials sector,” a declaration from Neogen Chemicals said
For Neogen Chemicals, the partnership provide numerous strategic benefits. For one, MIL’s extensive experience in lithium salt production will assist improve Neogen’s current technology. The joint project is likewise anticipated to facilitate faster entry into global markets and gain approvals from global clients.