REDWOOD MATERIALS RAISES $350 MILLION TO EXPAND BATTERY RECYCLING AND ENERGY STORAGE

Battery recycling pioneer Redwood Materials has raised $350 million in new funding to accelerate its expansion into large-scale energy storage and critical-materials production. The financing round, led by Eclipse Ventures with participation from Nvidia's NVentures, lifts the company's valuation above $6 billion and signals investor confidence in Redwood's ability to bridge the gap between clean-energy infrastructure and digital-era demand.

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The funding will enable Redwood to expand its refining capacity, scale up production of cathode and anode materials, and invest in its growing energy-storage division, which designs grid-scale systems that repurpose used EV batteries. The move marks a natural evolution for the Nevada-based company, which was founded in 2017 by former Tesla CTO JB Straubel and has since become a cornerstone of the emerging circular-battery economy.

BUILDING A CLOSED-LOOP BATTERY SUPPLY CHAIN

Redwood's original mission focused on recycling end-of-life lithium-ion batteries to recover valuable materials such as lithium, nickel, cobalt, and copper—components that are crucial to the electrification of transportation and energy storage. Through advanced refining and chemical-processing techniques, Redwood converts these materials into high-purity precursors that can be fed directly back into new battery production, effectively closing the loop between use and reuse.

The company’s strategy has since broadened. In addition to its recycling operations, Redwood now manufactures new battery components and develops large-format energy-storage systems under the Redwood Energy division. These systems provide backup power for industrial sites, renewable-energy projects, and data centers—enabling excess renewable energy to be stored when production is high and deployed when demand peaks.