Denmark’s PKA has invested DKK 100m in sustainable battery producer Morrow

Danish pension fund, PKA, has invested DKK 100m in the sustainable battery producer, Morrow.

The investment by PKA, along with a number of other Norwegian investors, will enable Morrow to build an innovation centre in the Norwegian city of Grimstad and a giga factory in the nearby city of Arendal. The factory will supply batteries for more than 700,000 electric cars annually and employ more than 2,500 employees.

Among other things, Morrow works with large industrial companies such as Haldor Topsøe, ABB, Siemens and Elkem on the development of green batteries.

PKA's investment director, Michael Nellemann Pedersen, said: “We already have a large portfolio of direct investments in green energy production, but we want to increase our investments in innovative companies that contribute to the green transition with new technology.

“Morrow is a company with a clear plan for the development and production of the battery technology of the future together with a number of very strong partners. We believe that Morrow can meet its ambitious goals and thus give the members of PKA a good return on our investment while PKA makes a significant contribution to the green transition.”

He added that a significant part of the world’s C02 emissions come from petrol and diesel vehicles.

"Several policy decisions have already been taken that will significantly increase the demand for batteries, including the European Commission's proposal to ban the sale of petrol and diesel cars from 2035. Morrow has the potential to become a key player in that market."

At Morrow, CEO Terje Andersen appreciates having the Danish pension fund in the ownership circle, which also includes Norwegian investors such as NOAH AS and Agder Energi Ventures.

“We are pleased to be able to attract quality investors such as PKA…. Interest in Morrow from the market is solid and we have now fully funded the next steps in our development. Europe's need for batteries is growing rapidly. Our ambition is to produce the world's greenest batteries, and during 2021 we have recruited some of the best talent in the industry.

"In addition, we have entered into important partner agreements with Elkem, Haldor Topsøe, ABB and Siemens, which means that we are well on our way to realising Morrow Giga Factory in the fourth quarter of 2024,” Andersen said.

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