Li-S Energy celebrates market debut

Li-S Energy, an Australia-based developer of a lithium-sulphur battery co-founded by Deakin University, has floated on the Australian Stock Exchange after securing A$34m ($25m) in its initial public offering.

The company issued 40 million shares priced at A$0.85 each, securing a market cap of A$544m at the offering price. Shares are trading at A$2.07 as of the time of writing, having been listed under the ticker symbol LIS.

Founded in 2019, Li-S Energy is working on lithium-sulphur battery technology that incorporates a nanomaterial called boron nitride nanotubes (BNNTs) to offer improved capacity, stability and cycle life.

BNNTs are similar to carbon nanotubes but have a range of unique properties, such as being able to withstand temperatures more than twice as hot – up to 900 degrees Celsius. They can also withstand high levels of stress and are extremely lightweight.

The material – discovered in the mid-1990s – has historically been difficult and expensive to produce but using Deakin University’s patented approach can now be manufactured at a commercially viable cost.

Compared to lithium-ion batteries commonly in use today, Li-S Energy’s product promises to offer a fivefold increase in energy density, boast faster charging and reduce the risk of fires.

Li-S Energy was formed as a joint venture between Deakin University and its nanotechnology spinout BNNT Technology – the licensee of the BNNT manufacturing process – and diversified holding firm PKK Group.

Proceeds from the IPO, together with existing cash reserves, have been earmarked for project expenditure, a potential expansion or acceleration of existing projects, new development projects and pursuing collaborations with partners such as original equipment manufacturers.

PPK Group owns a 45.4% stake in Li-S Energy following the IPO, while Deakin University has a 13% stake and BNNT Technology retains 4.7%.

Blue Ocean Equities acted as the sole lead manager for the offering.