Tesla veteran’s battery recycling company Redwood Materials is expanding to Germany. J.B. Straubel’s company has acquired Europe’s leading lithium-ion battery recycling company, which is based in Bremerhaven.
J.B. Straubel, who was a core member of the Tesla team, founded his own company, Redwood Materials, in 2017. Having established a foothold in the US, the battery recycling company is now expanding its operations in Europe. Redwood Materials has acquired Redux Recycling, a leading lithium-ion battery recycler in the EU.
“The acquisition is Redwood Materials’ first foray into Europe,” Dirk Demuth, senior vice president of European operations at Redwood, told Manager magazine. Redux, based in Bremerhaven, is the first European office acquired by Redwood outside the US.
The market for battery recycling and production of battery materials is growing rapidly as electric mobility advances. “Europe continues to be the fastest-growing EV market in the world, driven by automakers’ commitment and strong government support for electrification,” Redwood said in a statement. Straubel has already announced its expansion into Europe in February 2022.
Since then, various companies have been evaluated and an agreement has finally been reached with the owner of Redux, Demuth said. “Redux is based in Germany. And Germany accounts for 25 to 30 percent of the European electric vehicle market. This fits well. And this is also the reason why we come to Germany,” he said.
Redux has proven itself very well in the battery recycling market. With this acquisition, Redwood will become a key player in the European market. Redux still has potential for further growth, especially as Tesla and other local manufacturers continue to flood the market with electric vehicles.
Redwood Germany has acquired 100 percent of Redux Recycling GmbH, a subsidiary of the Austrian family business Saubermacher. The company thus becomes a subsidiary of Redwood Germany. However, the former Redux plant in Offenbach, which processes batteries for household appliances and devices, will not become Redwood’s property.
The Bremerhaven plant becomes the property of the company. It can process 10,000 tons of recyclable materials per year. In addition to this plant, Redwood also welcomes a team of approximately 70 Redux employees, including chemical engineers, metallurgists, and materials scientists. “Their expertise in mechanical separation allows us to obtain high-purity metal concentrates,” the company said.
“We accept the company as it is and will continue to invest to write a growth story,” Demuth said.
We’re expanding in Europe and have acquired leading EU battery recycler, Redux Recycling GmbH! This acquisition gives us an immediate EU presence to quickly grow operations, 70 experienced technical staff who will join our team, and many new partners! https://t.co/xH8fSA1VM7
— Redwood Materials (@RedwoodMat) September 19, 2023
