Sila raises $375 million for silicon anode production

Sila, a California-based next-generation battery materials company, has raised $375 million in a Series G financing round led by existing investors Sutter Hill Ventures and T. Rowe Price Associates. The financing round secures the completion of Sila's new plant in Moses Lake, Washington.

The plant is scheduled for completion in Q1 2025. Deliveries of the anode material called ‘Titan Silicon’ to automotive customers are expected to start in Q4 2025. ‘Titan Silicon’ acts as an anode with a high silicon content that can replace all or part of the graphite in a lithium-ion cell.

As reported, the first two customers for ‘Titan Silicon’ are Mercedes-Benz and Panasonic. According to Sila, it has also signed contracts with three other companies, although these have not yet been made public.

The expansion of Sila’s manufacturing facility in Moses Lake is proceeding according to plan and will provide sufficient capacity to serve the company’s customers. Additional future expansions at the site are expected to enable Sila to produce enough material to supply up to one million cars per year.

“Our investors share the perspective that the world will transition to fully electric,” said Gene Berdichevsky, Sila Co-founder and CEO. “Every automaker knows the future must be electric and realizes that the path to broader adoption isn’t through cost reduction alone. To transform the world and meet consumer expectations, the industry needs to take the next big step on battery performance and charging speeds. With Sila, automakers can deliver next-generation EVs that will win over those who expect more from their electric experience.”

“We have observed Sila’s steady execution since we first invested in the company in 2021,” said Joseph Fath, portfolio manager at T. Rowe Price Associates, Inc. “With its disciplined focus on manufacturing and quality, we believe Sila has the persistence and durability to meet future global demand and be a market leader for the long haul.”

‘Titan Silicon’ was first presented in 2023. According to Sila, it now offers up to 20-25 per cent higher energy density than the industry’s highest performing graphite cells. Future versions of ‘Titan Silicon’ are expected to deliver improvements of up to 40 per cent, reduce charging times to less than 10 minutes and lower the cost per kilowatt-hour of batteries.

silanano.com