Shares in Australian-listed Altech Batteries have rocketed more than 50 per cent following a landmark funding win in Germany. The company secured conditional binding approval for a substantial €46.11 million (approximately A$80.49 million) grant from the German federal government to advance its pioneering CERENERGY sodium-chloride solid-state battery project.
A Surge in Market Confidence
The announcement triggered a massive trading response, with more than 76 million shares changing hands – the company's highest trading volume in over a year. This investor frenzy propelled Altech's share price to 3.8 cents, a dramatic leap from the previous day's closing price. The non-dilutive grant, which covers roughly 30 per cent of eligible capital costs, significantly de-risks the financing for Altech's planned production facility in Saxony, Germany.
The funding is awarded under Germany's federal STARK economic development program, designed to support structural change in regions transitioning away from coal. This second-stage approval underscores the strategic value placed on Altech's CERENERGY technology, developed in partnership with the prestigious Fraunhofer Institute for Ceramic Technologies and Systems (IKTS).
The Technology Behind the Triumph
For over a decade, the Fraunhofer IKTS – Europe's leading ceramics research institute – has invested more than €35 million (A$61.03 million) into developing the innovative ceramic electrolyte at the heart of the CERENERGY battery. Unlike conventional lithium-ion systems, this sodium-chloride solid-state design offers a fire-proof, long-life alternative ideal for grid-scale energy storage.
The technology promises enhanced safety, greater sustainability, and crucial supply-chain independence from lithium. This is particularly vital for the European market, where reduced gas supplies and soaring import costs for alternatives have driven energy prices sharply higher for households and businesses.
Through a joint venture where Fraunhofer holds a 25 per cent stake, Altech Batteries GmbH is now progressing the technology toward full-scale commercial production. The goal is to establish a 120MWh annual production facility at the Schwarze Pumpe Industrial Park in Saxony.
Strategic Milestone for European Energy Security
Altech Batteries' Managing Director and CEO, Daniel Raihani, hailed the funding approval as a major milestone. He stated it reflects the strategic importance of building advanced, non-lithium energy storage manufacturing capacity within Europe and recognises the significant technical progress achieved with Fraunhofer IKTS.
The STARK program, administered by Germany's Federal Ministry for Economic Affairs and Climate Action, specifically targets capital-intensive projects involving transformative technologies like battery production. It aims to foster economic development in regions, such as Lusatia, affected by Germany's planned coal phase-out by 2038.
The final grant commitment remains subject to full project financial close by the end of June 2026 and the parliamentary approval of funds in Germany's 2026 federal budget. With this conditional funding now secured, Altech stands on the brink of constructing Europe's first grid-scale solid-state sodium-chloride battery manufacturing plant, positioning itself at the forefront of Germany's push for innovative and secure energy storage solutions.
