Linamar Announces Exclusive Manufacturing, Licensing Agreement, and Investment in Battery Pack Module Leader eMatrix
GUELPH, ON, Sept. 28, 2021 /CNW/ - Linamar Corporation (TSX: LNR) today announced that it has entered into an exclusive Manufacturing and Licensing Agreement with Michigan-based eMatrix Energy Systems, Inc. to gain access to leading modular battery pack technology. The agreement positions Linamar as the exclusive manufacturing partner of eMatrix's modular battery packs and grants Linamar exclusive licensing privileges in key markets. With the new partnership and investment, Linamar has taken a meaningful minority equity position in eMatrix ownership. Terms of the investment were not disclosed.
Under the umbrella of Linamar's recently announced eLIN Product Solutions Group, this initiative is the Company's first expansion into Power Storage solutions. The deal leverages Linamar's expertise in manufacturing and supply chain management, as well as existing infrastructure and industry relationships to accelerate and expand the scaling of eMatrix's product offerings. Further, the transaction allows Linamar to participate as both a shareholder and contract manufacturer with this rapidly growing startup.
eMatrix's modular battery pack systems feature a unique pack design easily assembled to scale to customer needs, uses standard battery cells and are controlled with a unique Battery Management System designed to optimize thermal performance. The resultant system is scalable, flexible, lower cost and drives better efficiency in performance. The modular battery pack systems provide a highly competitive product offering to customers across Linamar's Mobility and Industrial business segments.
"I am very pleased to be announcing this manufacturing agreement and investment in eMatrix," said Linda Hasenfratz, Linamar's CEO. "This partnership is the first major implementation by our eLIN Product Solutions Group and our first expansion into the highly opportunistic Power Storage segment. eMatrix are leaders in energy storage systems for electrified solutions and we are very excited for the value their products will bring to Linamar's customers and stakeholders."
"We are excited for the scale and manufacturing expertise that Linamar brings to this alliance," said Idan Kovent, President and CEO of eMatrix. "We have developed a groundbreaking energy storage system that is easier to modify and scale, so it fits an exceptionally wide range of potential applications. Thousands of our patented eBrick™ modules are already powering both on- and off-highway products such as commercial electric vehicles and charging stations. They are also providing a uniquely compact energy storage solution for solar-powered buildings and have become a versatile power source for a large variety of industrial robotic equipment. With this increasing demand for our products, our partnership with Linamar will allow us to incorporate their renowned manufacturing expertise, as well as utilize their facilities worldwide, to expand our manufacturing and distribution capabilities. As a result, eMatrix can accelerate our growth with both existing and new customers and provide them the highest quality product."
eMatrix Energy Systems is an innovative energy technologies creator founded in 2016 and headquartered in Southfield, Michigan, a Detroit suburb. The Company is a leader in the development of advanced electrification solutions in multiple commercial verticals. Its patented eBrick™ battery module provides OEMs a uniquely versatile and customizable design that scales better and easier to their specific applications, enabling them to launch faster. In addition, the eMatrix proprietary battery management system offers a fully integrated plug-and-play solution that ensures safe and efficient energy system performance over the long term.
Linamar Corporation (TSX:LNR) is an advanced manufacturing company where the intersection of leading-edge technology and deep manufacturing expertise is creating solutions that power vehicles, motion, work and lives for the future. The Company is made up of two operating segments – the Industrial segment and the Mobility segment, both global leaders in manufacturing solutions and world-class developers of highly engineered products. The Industrial segment is comprised of Skyjack and MacDon. Skyjack manufactures scissor, boom and telehandler lifts for the aerial work platform industry. MacDon manufactures combine draper headers and self-propelled windrowers for the agricultural harvesting industry. The Mobility segment is subdivided into three regional groups: North America, Europe and Asia Pacific. Within the Mobility segment, the regional groups are vertically integrated operations combining expertise in light metal casting, forging, machining and assembly for both the global electrified and traditionally powered vehicle markets. The Mobility segment products are focused on both components and systems for new energy powertrains, body and chassis, driveline, engine and transmission systems of these vehicles. In addition to the recently formed eLIN Product Solutions Group that focuses on Electrification, McLaren Engineering provides design, development, and testing services for the Mobility segment. Linamar has 26,000 employees in 60 manufacturing locations, 12 R&D centres and 25 sales offices in 17 countries in North and South America, Europe and Asia which generated sales of $7.4 billion in 2019. For more information about Linamar Corporation and its industry leading products and services, visit www.linamar.com or follow us on Twitter at @LinamarCorp.
Forward Looking Information, Risk and Uncertainties
Certain information regarding Linamar set forth in this document and oral summary, including management's assessment of the Company's future plans and operations may constitute forward looking statements. This information is based on current expectations that are subject to significant risks and uncertainties that are difficult to predict. Actual results may differ materially from these anticipated in the forward-looking statements due to factors such as customer demand and timing of buying decisions, product mix, competitive products and pricing pressure. In addition, uncertainties and difficulties in domestic and foreign financial markets and economies could adversely affect demand from customers. These factors, as well as general economic and political conditions and public health threats, may in turn have a material adverse effect on the Company's financial results. Please also refer to Linamar's most current Management's Discussion and Analysis of Financial Condition and Results of Operations ("MD&A") and Annual Information Form ("AIF"), as replaced or updated by any of Linamar's subsequent regulatory filings, which set out the cautionary disclaimers, including the risk factors that could cause actual events to differ materially from these indicated by such forward looking statements. These documents are available at www.linamar.com/investors. The Company assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those reflected in the forward-looking statements. Content is protected by copyright and may not be reproduced or repurposed without express written consent by the Company.
SOURCE Linamar Corporation
Please contact Linda Hasenfratz at (519) 836-7550
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