New Delhi: Critical mineral refining and processing company Lohum is looking to raise about $200 million from private equity funds, as it readies to launch an initial public offering (IPO) in early 2027, its founder and chief executive officer (CEO) Rajat Verma said.
“Growth will come from capacity expansion. We are looking to expand our capacity, not just in the minerals in which we are today, but also in some new mineral categories that we are adding. Also, some new value-added products that we’re adding, so all those capacity expansion plans are very much in place. We are looking to grow the lithium and nickel business. We are looking to grow our platinum and palladium business and the cathode active material businesses substantially. We are looking to grow them across multiple locations in the country,” Verma told Mint in an interview.
“We are anticipating listing the company in early 2027 calendar year. We would look at raising $200 million before that over the next two years.”
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So far, the Greater Noida-based company has raised $100 million since its inception in 2018. Its investors include Singularity Growth, Baring Private Equity and Cactus Venture Partners.
Capacity expansion
On Wednesday, Lohum announced the expansion of its lithium refining capabilities with a 1,000-tonnes-per-annum battery-grade lithium facility. According to the company, it currently refines more than 90% of all lithium in India, making it one of the largest lithium refiners in the world outside of China.
Lohum has a total of eight facilities for lithium, cobalt and nickel refining, including seven in Greater Noida in Uttar Pradesh, and one in Gujarat. The company has two facilities under development in South India. It is also expanding globally with joint ventures in the US and Sharjah (with the UAE government as a partner) and further planned expansion in the European Union.
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Lohum, whose annual revenue currently stands at around ₹1,000 crore, aims to quadruple it by 2027. The company, which has evolved from a battery recycling to mineral refining firm, is planning a capex of around ₹2,000 crore in the next two years, the CEO said.
“We are looking to expand the lithium capacity 3x. We are looking to expand our nickel capacity 4x. We are looking to set up a greenfield cathode active material project,” Verma said.
Lohum’s current lithium refining and processing capacity is 1,000 tonnes, while that for cobalt is 1,200 tonnes and 1,000 tonnes for nickel.
