Solid Power raises $130M at premium pricing to fund solid-state battery push
Institutional investor buys at $5.70 per share despite ~12% dilution, signaling confidence in EV battery technology
Solid Power has priced a $130 million registered direct offering at a premium to its current share price, in a deal that extends the company's financial runway as it races to commercialize next-generation electric vehicle batteries.
The Colorado-based company will sell 17 million shares of common stock at $5.70 per share—roughly 10% above the stock's closing price of $5.19 on Tuesday. The offering also includes pre-funded warrants to purchase 5.8 million shares and common warrants to purchase up to 45.6 million shares, representing approximately 12% dilution to existing shareholders.
The pricing premium is notable in a market where direct offerings typically trade at discounts to prevailing market rates. A single sector-focused institutional investor agreed to the terms, according to Business Wire, suggesting confidence in the company's technology despite the dilution.
"The premium pricing signals institutional validation of our technology platform and commercialization pathway," said Solid Power in a statement, noting that proceeds will fund working capital and general corporate purposes tied to battery development.
The offering comes as Solid Power navigates a crowded and capital-intensive race to bring solid-state batteries to market. The technology promises significant advantages over conventional lithium-ion batteries, including higher energy density, faster charging times, and improved safety profiles—benefits that could accelerate electric vehicle adoption.
Solid Power's competitive position strengthened significantly in October 2025 when the company formed a strategic partnership with Samsung SDI and BMW Group. Under the agreement, Solid Power supplies its sulfide-based solid electrolyte, which Samsung SDI integrates into battery cells, while BMW evaluates the technology for potential use in future vehicles. Samsung SDI has targeted mass production of all-solid-state batteries between 2027 and 2030.
The company has also secured support from the U.S. government. A Department of Energy agreement effective January 1, 2025 committed up to $50 million in funding for continuous production of sulfide-based solid electrolyte materials, with Solid Power contributing $60 million to the $110 million project.
Despite these strategic advantages, analysts have cautioned that significant challenges remain. The company reported Q1 2025 revenue of $6 million, primarily from its agreement with SK On Co., but continues to burn cash as it scales production technology. Analysts have highlighted reluctance among original equipment manufacturers to transition from established lithium-ion battery designs and the difficulty of proving solid-state cell feasibility at manufacturing scale.
As of December 31, 2025, Solid Power had approximately 201.2 million shares outstanding and total liquidity of about $336.5 million. The new capital infusion, expected to close on or about January 29, 2026, will further extend the company's financial runway as it works toward commercialization targets.
Wall Street maintains a cautiously optimistic view on the stock. Needham reiterated a "Buy" rating on January 15, 2025, with analysts collectively maintaining a median price target of approximately $7.00—well above Tuesday's closing price. However, some analysts have warned of weak near-term catalysts and the execution risks inherent in scaling novel battery technology.
The warrants included in the offering carry an exercise price of $7.25 per share and expire seven years from issuance, providing the institutional investor with additional upside potential if Solid Power successfully executes on its commercialization strategy.
J.P. Morgan Securities LLC and A.G.P./Alliance Global Partners are acting as placement agents for the offering.