Enovix to buy South Korean battery maker in cash and stock deal

Shares of Enovix Corp. (ENVX) rose more than 1% in the extended session Wednesday after the battery maker said it has agreed to buy privately held Korean battery maker Routejade in a cash and stock deal. Enovix will pay $16.5 million in cash and about 6.2 million of its shares for the company. "The acquisition provides Enovix with vertical integration of electrode coating and battery-pack manufacturing while adding an established lithium-ion battery business with factories in Korea, along with complementary products, customers, and suppliers," the Fremont, Calif., company said in a statement. The deal is expected to close in the fourth quarter and it will be "immediately accretive," Enovix said. Routejade brings more than 20 years of experience as a manufacturer and supplier of lithium-ion batteries in end markets such as wearables, medical, industrial, and the South Korean military, Enovix said. Shares of Enovix ended the regular trading day down 5.4%.

-Claudia Assis

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09-20-23 1643ET

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