Anaphite raises £1.4m for battery development that could cut future EV costs

Anaphite has raised £1.4m to accelerate development of new dry coating technology for LFP batteries – a breakthrough that could reduce the cost and carbon footprint of EV production.

The funding round, delivered through the Innovate UK Investor Partnership Programme and matched by investment from Elbow Beach and World Fund, will allow the Bristol-based company to adapt its Dry Coating Precursor technology to lithium iron phosphate cathodes and graphite anodes.

These chemistries are increasingly used in mainstream EVs, including models expected to feature heavily in future UK showrooms.

LFP batteries are forecast to account for more than 55% of global cathode demand by 2030, driven by their lower cost, improved durability and strong suitability for volume EVs.

However, current manufacturing methods are energy intensive, contributing to higher production costs that ultimately flow through to retail pricing.

Anaphite said its dry coating technology can streamline the electrode manufacturing process, cutting energy use by around 30% and reducing the carbon footprint associated with battery cell production.

If adopted at scale by global OEMs, the process could help lower battery costs – the single biggest expense in an electric vehicle – supporting more competitive EV pricing for both dealers and consumers.

Joe Stevenson, CEO of Anaphite, said: “This enables us to attack one of the toughest technical challenges in dry coating – successfully manufacturing LFP electrodes. Once achieved at scale, it will be enormously valuable to the industry.