Factorial Inc., a developer of solid-state battery technology, has agreed to merge with Cartesian Growth Corporation III, a special purpose acquisition company, in a deal that values Factorial at approximately $1.1 billion on a pre-merger basis. The transaction includes a $100 million private placement of new capital and, assuming no public shareholder redemptions, would create a combined company with a pro forma equity value near $1.5 billion. Cartesian III currently holds roughly $276 million in trust.
Factorial’s solid-state cells have demonstrated notable real-world performance. In collaboration with an OEM partner, a lightly modified Mercedes-Benz EQS test vehicle equipped with Factorial’s 106 Ah cells achieved more than 1,200 km of driving range on a single charge. In separate laboratory testing with Stellantis, 77 Ah cells exhibited high energy density, rapid charging capability, and consistent performance across extreme temperatures. Beyond passenger vehicles, Factorial is targeting defense, aerospace, and industrial applications that demand high power, lightweight construction, and resilience in harsh environments.
“This agreement marks a pivotal inflection point in our progression from proven technology to broad commercial deployment across multiple industries,” said Dr. Siyu Huang, Co-founder and CEO of Factorial. “We’ve proven our solid-state platform delivers what customers want – longer range, lighter weight, and greater cost efficiency. A Nasdaq listing is expected to provide the capital and enhanced visibility to drive commercial adoption of our transformative products.”
Upon closing, the combined company will trade publicly, and the additional capital is intended to support Factorial’s manufacturing scale-up and commercialization strategy. The business combination is anticipated to close in mid-2026, subject to customary closing conditions.
Source: Business Wire
