Battery maker A123 Systems has secured its place as the most heavily funded battery startup, adding $30 million in its fifth round of funding.
Early this year, A123 broke $100 million. The Watertown, Mass. company, which is developing new lithium ion technology, already has some products on the market, mainly batteries for hand-held power tools. More importantly, companies like General Electric are considering its technology for use in upcoming hybrid vehicles.
A123 has shown itself to be rather aggressive, chasing down potential customers and acquiring Hymotion, a related battery tech firm, and with the potential for battery storage technology, it’s no surprise that plenty of firms are ready to invest.
The company didn’t disclose which investor led the round, but aside from a number of well known venture and private equity firms — Sequoia Capital, North Bridge Venture Partners, CMEA Ventures, FA Technology Ventures, OnPoint and Carruth Management — several other large institutions invested, including General Electric, Procter & Gamble, Alliance Capital, Motorola, Qualcomm, the Massachusetts Institute of Technology, and Desh Deshpande, who is the company’s chairman.
Other lithium ion battery companies include San Francisco’s Li*On Cells and Fremont, Calif.’s Mobius Power (see our June coverage). Other battery companies working with lithium ion or some other material include Valence, Saft, EEStor and Infinite Power Solutions.