BMW i Ventures and Fortescue Ventures have co-led an US$11m seed investment, with support from New Systems Ventures and early investor DCVC, in battery specialist Estes Energy Solutions to help it complete the development of its chemistry-agnostic battery pack platform and establish domestic manufacturing capacity.
Estes says it will use this investment to expand its development team, build-out pilot manufacturing capability and begin deploying systems to early customers in Q4 2025.
Estes is focused on improving battery technology at the pack level, with a focus on novel materials, advanced manufacturing processes and architectural optimizations to enhance performance and economics for high-voltage battery packs in the US electrification market.
The modular platform is designed to address cost-sensitive applications with an LFP-powered variant, and mass-sensitive applications with a nickel-powered variant. Both systems are suitable for heavy-use applications and are seamlessly interchangeable.
“What makes Estes different isn’t just the unique technology — it’s the people,” said Baris Guzel, partner at BMW i Ventures. “This is a team that’s been in the trenches, building rugged, high-density battery systems with real-world safety and scale in mind. It’s that rare blend of deep engineering chops, operator mindset and execution urgency. We couldn’t be more excited to partner with them.”
Estes reports strong interest from commercial partners and OEMs across multiple sectors. The pilot manufacturing line will enable the California-based company to begin fulfilling these strategic opportunities while also developing the US battery supply chain.
“We’re experiencing a broadening of demand across new electrification markets. From defense and aviation to marine, rail and off-highway sectors, the need for the next generation of battery systems is accelerating,” said Dustin Grace, CEO of Estes. “This funding propels us toward serving these markets at the level of performance, economics and domestic resilience necessary for sustainable growth.”
In related news, Volkswagen Group’s battery company PowerCo and QuantumScape have partnered to industrialize QuantumScape’s next-generation solid-state lithium-metal battery technology. Read the full story here