Moment Energy Raises $40 Million in Series B Funding for EV Battery Repurposing

Moment Energy, a startup with headquarters in Canada and the United States, announced on Tuesday that it raised $40 million in a Series B funding round. The investment brings the company's total funding to more than $100 million. The round was led by Canadian venture capital firm Evok Innovations, with additional funding from a grocery retailer fund and existing investors including Amazon’s Climate Pledge Fund and In-Q-Tel.

CEO Edward Chiang told TechCrunch that the company repurposes electric vehicle batteries by removing the original battery management systems and replacing them with its own software. This approach allows the batteries to be packaged into larger grid-scale storage solutions that support multiple battery chemistries.

Chiang stated that this modularity reduces downtime if a module fails and enables customers to incorporate future technological advances.

Energy has obtained UL certification for its repurposed battery systems, which Chiang described as a key differentiator. He said that the certification requires specific components and ensures safety standards are met. According to Chiang, this certification can affect how energy storage products are insured, and he noted that other companies often do not obtain full certification despite testing against UL standards.

Chiang added that leaving an automaker's battery management system intact in repurposed batteries could lead to issues with insurability or higher costs. He cited participation from Liberty Mutual’s venture arm in the funding round as an indicator of the company's compliance.

The startup has around 72 employees and has signed supply deals with Mercedes-Benz and Nissan.

Chiang stated that demand for power in North America is driven by factors including electric vehicles, data centers, and extreme climate conditions. He noted that Chinese companies hold about 72% of the global market for such solutions, according to BNEF data.

Moment Energy is building a gigawatt-scale factory in Austin, Texas, and has secured a $20 million loan from the Department of Energy. The company serves customers in utilities, industrial sectors, and data centers. Chiang emphasized that the startup focuses on delivering tangible products and serving current customers rather than pursuing long-term deals for fundraising purposes.

He attributed this approach to the company's Canadian roots, which prioritize building profitable businesses.