Ecobat Sells U.K. Battery Recycling Operations to Splitstone Capital LLP

In a significant development within the battery recycling industry, Ecobat, a global frontrunner in this field, has announced its decision to divest its operations in the United Kingdom. The company has entered into a binding agreement to sell its battery recycling and specialty lead operations to funds advised by Splitstone Capital LLP, a private equity firm based in London. This transaction includes Ecobat’s facility in Matlock, recognized as the largest battery recycling plant in Europe, along with the lead sheet mill located in Welwyn Garden City.

Tom Slabe, the President and CEO of Ecobat, expressed his satisfaction about the sale, citing it as a strategic move that aligns with the company’s long-term goals. "We are pleased to announce the sale of our U.K. operations," said Slabe. He also noted that this sale, together with recent divestitures in France, Italy, Germany, and Austria, signifies Ecobat's departure from the European lead market. This strategic transition will allow the company to refocus its efforts on U.S.-based operations, particularly in the lithium-ion battery recycling sector.

Ecobat is committed to building a sustainable future through innovative recycling solutions and responsible management of valuable materials. For more than 70 years, the company has upheld its core values of environmental responsibility and contribute to the circular economy.

Prior to this sale, Ecobat had completed several successful transactions across Europe. With operations primarily in Europe and the United States, Ecobat functions as a vital player in the global battery recycling industry, managing the responsible disposal and recovery of materials essential for modern life. This new shift will pivot the company’s focus towards maximizing shareholder value while reinforcing its commitment to energy storage solutions.

The transaction is anticipated to conclude by late 2025, contingent upon the necessary regulatory approvals. Rothschild & Co is serving as the financial advisor to Ecobat, while White & Case is acting as the legal advisor for this notable transaction.

On the other hand, Splitstone Capital LLP, established in 2024, specializes in acquiring non-core divestment opportunities within industrial and business services sectors. Their approach aligns with Ecobat’s strategy, opening avenues for future collaborations in sustainability-focused initiatives.

The Future of Battery Recycling

As the world transitions towards renewable energy solutions, the need for effective battery recycling is more pressing than ever. Batteries play a crucial role in the green energy landscape, powering everything from electric vehicles to renewable energy storage systems. The recycling of batteries not only reduces the environmental impact but also mitigates the depletion of natural resources necessary for battery production.

Ecobat’s strategic focus on U.S. operations and lithium-ion battery recycling signifies its commitment to leading the charge toward innovative recycling practices. The move is aligned with the increasing demand for sustainable energy solutions as industries aim to become more ecologically responsible.

With consumers and governments placing more emphasis on sustainability, companies like Ecobat are well-positioned to spearhead a movement that prioritizes environmental health and resource conservation. The sale of its U.K. operations might pave the way for Ecobat to explore new markets and expand its reach in the sustainability-centered objectives of the future.