SAN JOSE — QuantumScape Corporation, a developer of lithium battery technology for electric vehicles, said it has successfully met the technical milestone that was a condition to close for the investment of an additional $100 million by Volkswagen Group of America Investments.
The milestone required Volkswagen (not Voltswagen) to successfully test the latest generation of QuantumScape’s solid-state lithium-metal cells in their labs in Germany. This will be the second and final closing under the May 14, 2020 stock purchase agreement between VW and QuantumScape that provided for a total $200 million investment.
Shares in Quantumscape were up 14% in after-hours trading on the news Wednesday. Quantumscape went public in a merger with Kensington Capital Acquisition Company on November 25, 2020, a special purpose acquisition company (SPAC). The stock hit a high of $132 in December and has been one of the best-performing stocks among the boom in SPAC deals.
“We are pleased to report that the QuantumScape cells met the technical milestones in our labs in Germany that we had previously agreed upon,” said Frank Blome, head of the Volkswagen Group’s Center of Excellence Battery Cell. “Achievement of this milestone is an important step for QuantumScape and we look forward to receiving and testing subsequent generations of cells, with the goal of getting solid-state technology into series production.”
“We are delighted to have met this technical milestone with Volkswagen, and we look forward to working jointly to bring solid-state lithium-metal battery technology into industrialized mass-production,” said Jagdeep Singh, co-founder and CEO of QuantumScape.