Despite the global economic gloom, there are still companies investing in promising technology firms. Denmark's DONG Energy, one of Northern Europe's leading energy groups, has put an undisclosed sum into fledgling Danish battery system developer Lithium Balance. The money will be spent to boost Lithium Balance's expansion plan from current revenues of DKK 500,000 (USD 88,460) to DKK 100m (USD 17.7m) over the next three years, writes financial daily newspaper Børsen.
Lars Barkler, director of Lithium Balance says: "We have a product that needs to be spread. We can do that with DONG Energy's capital input, and if we succeed in implementing our strategy, there is also good money to earn for DONG."
Lithium Balance has invented a battery management system that can optimise both the capacity and the service life of lithium ion batteries, which have major application potential in electric cars.
Vice president of DONG Energy, Knud Pedersen, comments on the investment: "We are first and foremost
interested in development collaboration. We see a great potential in using new battery technology in many different areas in the transport and energy sector, and Lithium Balance is very strong in management systems for batteries."
Expectations of growth do however play an equally significant role: "The potential of Lithium Balance is very promising, but it is still a venture investment with great uncertainty," says Pedersen.
Exactly how much cash DONG Energy has invested is a business secret, but the company does disclose that its equity interest represents less than half of the company.