Tesla, the electric car maker plans to acquire energy company Maxwell Technologies for $218 million at $4.75 a share, representing a 55% premium on the company’s $3.07 stock price on Friday.
Maxwell has been developing patented dry electrode technologies that can be used to create ultracapacitors that store large amounts of electrical charge without losing energy and are believed to be safer and more reliable alternatives to today’s batteries. Maxwell today offers its products for a range of industries, including industrial electronics, transportation, and renewable energy.
In a statement to the press, Maxwell Technologies CEO Dr. Franz Fink said that he believes the deal is in the best interests of his company. He added that Tesla shares a common goal with Maxwell Technologies to build “a more sustainable future.”
A Tesla spokesperson told Fortune magazine in an e-mailed statement that the company is “always looking for potential acquisitions that make sense for the business and support Tesla’s mission to accelerate the world’s transition to sustainable energy.”
The deal is expected to be closed in the second quarter of the year, pending customary closing conditions.