Altech Batteries Ltd (ASX:ATC, OTC:ALTHF) has initiated a share purchase plan (SPP) aimed at raising up to A$5 million to support its operational requirements for the CERENERGY® battery and Silumina Anodes™ battery materials projects.
Under the SPP, the company is offering shares priced at A$0.065 each, with one free attaching option provided for every two shares subscribed. These options can be exercised at $0.08 per share and will expire on April 30, 2026.
The raised funds will be allocated towards the commissioning and outfitting of the Silumina Anodes™ pilot plant, as well as the fabrication of two CERENERGY® ABS60 60KWh battery packs. 
Iggy Tan, CEO of Altech Batteries, expressed confidence in the economic viability and potential of the CERENERGY® project following the results of the definitive feasibility study (DFS). He emphasized the company’s commitment to progressing towards the funding phase to realize this innovative venture.
Tan highlighted the compelling economics of the project, citing an estimated EBITDA margin of approximately 47% even at the initial production capacity. This aligns with the anticipated growth of the grid storage market, projected at a remarkable 28% Compound Annual Growth Rate (CAGR). Additionally, the project boasts a low lifetime levelized cost of storage at €0.06 per kilowatt-hour (kWh), offering a significant cost advantage compared to lithium-ion batteries.
In practical terms, this cost differential represents nearly a 60% reduction in storage costs per kWh of stored energy, providing a substantial competitive edge over lithium-ion batteries.
The DFS unveiled a net present value (NPV9) of €169 million and a free cash flow of €48 million per year, equivalent to approximately A$280 million NPV and A$80 million free cash flow. Altech is actively pursuing finance and offtake agreements for the CERENERGY® project, with plans to construct a 120-megawatt-hour production facility in Germany to manufacture CERENERGY® battery modules.
