Amprius Technologies stock jumps on $75M defense grant

Investing.com -- Amprius Technologies (NYSE: AMPX) shares rose 11% Monday after the company secured a grant of up to $75 million from the U.S. Department of War to retrofit an existing domestic production line for high-energy density battery cells.

The grant, awarded through the DoW’s Industrial Base Analysis and Sustainment program, will fund the conversion of a U.S.-based electric vehicle battery production line operated by a major South Korean manufacturer to produce batteries for unmanned aerial systems.

The retrofitted line is expected to have the capacity to produce 12 million Amprius cells annually when completed in early 2028. The cells are intended to meet domestic sourcing requirements of the National Defense Authorization Act. The total conversion project is expected to cost approximately $100 million, including in-kind investments from Amprius and its South Korean partner.

The modified line will expand Amprius’ existing contract manufacturing relationships and increase the company’s ability to provide NDAA-compliant pouch cells. The project adds to Amprius’ global manufacturing network in China, South Korea, and the United States.

The primary objective of the award is to establish high-volume, commercially viable U.S. manufacturing for advanced battery systems that power Group 1, 2, and 3 drones.

CEO Tom Stepien said the DoW grant is intended to establish a primary source of domestic, NDAA-compliant battery production. He added that the company’s technology, combined with the U.S. manufacturing prowess of its South Korean manufacturing partner, positions Amprius to accelerate adoption of standardized, high-performance pouch cells in a fast-growing market.

Original Article

You May Also Be Interested In

• MongoDB stock drops 15% as CEO Desai resigns for Meta
• Trump rejects Iran proposal; OpenAI pause weighs on tech - what’s moving markets
• Snowflake shares slide as $3.5B debt offering sparks dilution jitters