Sign up for our popular daily email to catch all the latest EV news!
General Motors has entered into a non-binding agreement to sell its stake in the nearly completed Ultium Cells LLC battery plant in Lansing, Michigan, to its joint venture partner LG Energy Solution. The transaction is anticipated to close in the first quarter of 2025, pending standard closing conditions.
Key Highlights:
- GM aims to recoup its initial investment in the Lansing facility.
- The sale will not impact GM’s ownership interest in Ultium Cells LLC.
- LG Energy Solution will gain immediate access to the Lansing site for equipment installation.
- Lansing plant currently employs nearly 100 workers and remains committed to expanding the workforce.
The agreement allows GM to recoup its investment while continuing to maintain its stake in Ultium Cells LLC. This transaction will not affect GM’s ownership in the broader joint venture. GM plans to continue utilizing its Ultium Cells facilities in Warren, Ohio, and Spring Hill, Tennessee, to meet the increasing demand for its electric vehicles (EVs). LG Energy Solution, by gaining full access to the Lansing site, will accelerate the installation of necessary equipment to bring the plant into operation.
Paul Jacobson, GM’s executive vice president and CFO, emphasized the importance of the partnership with LG Energy Solution in GM’s EV strategy. He stated, “Our EV profitability is rapidly improving thanks in part to our strategic decision to build battery cells in the U.S. with LG Energy Solution. It will be years before some of our competitors approach this level of performance.” He further added, “We believe we have the right cell and manufacturing capabilities in place to grow with the EV market in a capital efficient manner. When completed, this transaction will also help LG Energy Solution meet demand by leveraging capacity that’s nearly ready to come online and it will make GM even more efficient.”
The Ultium Cells plants in Ohio and Tennessee have already created thousands of jobs and are crucial in powering GM’s expanding EV lineup. The batteries from these plants currently power models like the Chevrolet Silverado EV, GMC Sierra EV, Cadillac LYRIQ, Chevrolet Blazer EV, Chevrolet Equinox EV, and GMC HUMMER EV Pickup and SUV.
General Motors is driving the future of transportation, integrating advanced technology to create safer, smarter, and lower-emission vehicles. The company’s brands—Buick, Cadillac, Chevrolet, and GMC—offer an extensive lineup of both gasoline-powered and electric vehicles, as GM continues its path toward an all-electric future. Learn more at GM.com.
Sign up for our popular daily email to catch all the latest EV news!
