Bristol-based Anaphite has secured €1.6 million in funding to advance its dry coating technology, focusing on lithium iron phosphate (LFP) batteries. This funding comes at a time when the global demand for LFP cathodes is expected to surpass 55% by 2030, driven largely by the growth in electric vehicles (EVs) and energy storage solutions. Here’s an analysis of what this means for the industry and how Anaphite plans to lead.
Why This Funding Matters
Dry coating LFP cathodes presents specific challenges. Compared to nickel manganese cobalt (NMC) cathodes, LFP electrodes are more difficult to manufacture due to their smaller particle size and higher surface area. Traditional approaches rely on wet processes that consume significant amounts of energy and produce waste. Anaphite’s proprietary Dry Coating Precursor (DCP®) technology could reduce manufacturing costs and emissions while overcoming these barriers.
This funding includes equal contributions from Innovate UK’s Clean Energy and Climate Technologies competition and private venture investors like Elbow Beach Capital and World Fund, both with a strong focus on climate-driven innovation. This places Anaphite in a position to scale a solution with wide industry relevance.
What Anaphite’s Technology Brings to the Table
Anaphite’s DCP® system has already shown its ability to coat NMC cathodes efficiently. Now, the company aims to replicate this success with LFP. The process disperses binders and conductive materials to form homogeneous powders, which could eliminate steps such as energy-intensive material drying.
Key Goals for the Funding:
- Apply DCP® to LFP cathodes and graphite anodes, components critical to EV batteries and stationary energy storage.
- Build scalable, high-yield production lines that support industry needs.
- Strengthen LFP's commercial viability by reducing production energy and material costs, addressing a growing global focus on sustainability.
This isn’t just about solving a technical problem, it’s about making cleaner batteries more affordable on a mass-production scale.
A Look at the Growing Demand for LFP
Recent market trends underscore why this research is crucial. Lithium iron phosphate batteries have steadily gained ground as a cheaper, safer option for EVs. Companies like Tesla are already integrating LFP into their lower-range vehicles. Add to this the UK and EU policies banning internal combustion engine car sales by 2030 and 2035 respectively, and it’s clear why scalable solutions are in demand.
Dry coating technologies like Anaphite’s can profoundly streamline battery production. Coating and mixing processes alone currently take up to 40% of total manufacturing energy and costs for LFP. Optimizing these steps could lead to an industry shift toward environmentally friendly methods while keeping prices competitive.
For example, researchers found that producing LFP cathodes consumes twice the energy per kWh compared to NMC, with fewer recycling challenges. A possible cut in this figure would be a win for battery manufacturers and EV companies looking to improve their carbon footprints.
How Can Startups Push Ahead Amidst Demand Growth?
There’s a lot to learn from Anaphite’s approach, especially for early-stage companies targeting technologically challenging industries. Let’s break it down:
- Identify bottlenecks: Anaphite zoomed in on dry coating, a critical challenge for both cost and sustainability in battery production.
- Focus on scalability: Solving for commercial production, not just lab-scale results, sets Anaphite apart. Startups must prioritize scalable innovation.
- Combine public and private funding: The partnership with Innovate UK and climate-focused private firms creates a balance between resources and broader support networks.
Startups looking to follow similar pathways should consider accessing opportunities provided by innovation-focused grants, especially those emphasizing clean technologies.
Common Mistakes Startups Should Avoid
While Anaphite is making the transition toward commercializing research, others might stumble at crucial points. Here are three mistakes to watch out for:
- Overlooking market feasibility: Exciting lab results don’t always translate to scalable business models. Securing traction in the industry often depends on networking early with manufacturers.
- Relying on a single funding source: Many startups fail by banking on one investor. Diversification often builds credibility and brings new expertise to project challenges.
- Ignoring commercialization timelines: Timing is everything, especially when aligning with regulatory changes like emission standards. Plan milestones realistically while adjusting regularly to market shifts.
What’s Next for the Industry?
This funding win highlights a key trend: climate-conscious production methods are shaping the future of EV batteries. For entrepreneurs in green tech fields, this means aligning innovations with measurable environmental benefits like reduced energy input or cleaner raw materials. With no confirmed commercial-scale dry coating solutions available, whoever achieves this breakthrough first can dominate a rapidly evolving market.
Final Insights
Anaphite’s €1.6 million funding isn’t just about technical development, it’s a stepping stone for pushing the battery industry toward sustainable, cost-cutting production methods. The startup has set itself up as a vital player in helping EV manufacturers meet both operational targets and environmental goals.
For startups tackling similarly complex technical challenges, this is another reminder of what’s possible when research meets practical execution. Keep an eye on what partnerships and technological advancements lie ahead, these could set the standards for clean manufacturing in the coming years.
FAQ
1. What is Anaphite's primary focus with the funding it received?
Anaphite aims to expand its proprietary Dry Coating Precursor (DCP®) technology to enable high-throughput dry coating of lithium iron phosphate (LFP) cathodes and graphite anodes, which are essential for EV batteries and stationary energy storage. Explore Anaphite's technology
2. Why is dry coating technology important for LFP battery manufacturing?
Dry coating eliminates energy-intensive processes like wet material drying, significantly reducing production energy and material costs while enhancing sustainability. Learn more about dry coating
3. Who are the key contributors to Anaphite's €1.6 million funding?
The funding was a collaboration between Innovate UK’s Clean Energy and Climate Technologies competition and private venture investors such as Elbow Beach Capital and World Fund. Check out the investors
4. How does Anaphite plan to address the challenges of using LFP cathodes?
The company’s DCP® technology uses proprietary nanomaterials and compositing methods to disperse binders and conductive carbons uniformly, overcoming LFP coating challenges like particle size and surface area issues. Learn about Anaphite’s solution
5. Why are LFP batteries gaining popularity in electric vehicles?
LFP batteries are cheaper, safer, and increasingly used by companies like Tesla for their lower-range EV models. They also align with energy storage needs and sustainability goals. Discover LFP's advantages
6. What percentage of global cathode demand is LFP expected to represent by 2030?
LFP cathodes are forecasted to account for more than 55% of the global market share by 2030, driven by rising EV adoption and energy storage projects. Learn about the market trends
7. How does Anaphite's approach differ from traditional manufacturing methods?
Anaphite focuses on a scalable dry coating process that eliminates drying steps, offers energy savings, and reduces carbon emissions compared to traditional wet coating methods. Explore the process
8. What role does Innovate UK play in Anaphite's funding and development?
Innovate UK contributed half of the funding through its Clean Energy and Climate Technologies program, supporting research that enhances sustainability and scalability in energy technologies like batteries. Learn about Innovate UK's role
9. Which industries could benefit most from Anaphite’s dry coating technology?
The automotive sector and energy storage industries stand to gain significantly, with dry-coated LFP cathodes poised to revolutionize EV batteries and stationary storage systems. Explore industry impacts
10. What are the main challenges startups face in scaling innovative technologies like Anaphite’s?
Startups often struggle with securing diversified funding, achieving scalability beyond lab results, and aligning commercialization timelines with market opportunities. Read insights on startup challenges
About the Author
Violetta Bonenkamp, also known as MeanCEO, is an experienced startup founder with an impressive educational background including an MBA and four other higher education degrees. She has over 20 years of work experience across multiple countries, including 5 years as a solopreneur and serial entrepreneur. Throughout her startup experience she has applied for multiple startup grants at the EU level, in the Netherlands and Malta, and her startups received quite a few of those. She’s been living, studying and working in many countries around the globe and her extensive multicultural experience has influenced her immensely.
Violetta Bonenkamp's expertise in CAD sector, IP protection and blockchain
Violetta Bonenkamp is recognized as a multidisciplinary expert with significant achievements in the CAD sector, intellectual property (IP) protection, and blockchain technology.
CAD Sector:
- Violetta is the CEO and co-founder of CADChain, a deep tech startup focused on developing IP management software specifically for CAD (Computer-Aided Design) data. CADChain addresses the lack of industry standards for CAD data protection and sharing, using innovative technology to secure and manage design data.
- She has led the company since its inception in 2018, overseeing R&D, PR, and business development, and driving the creation of products for platforms such as Autodesk Inventor, Blender, and SolidWorks.
- Her leadership has been instrumental in scaling CADChain from a small team to a significant player in the deeptech space, with a diverse, international team.
IP Protection:
- Violetta has built deep expertise in intellectual property, combining academic training with practical startup experience. She has taken specialized courses in IP from institutions like WIPO and the EU IPO.
- She is known for sharing actionable strategies for startup IP protection, leveraging both legal and technological approaches, and has published guides and content on this topic for the entrepreneurial community.
- Her work at CADChain directly addresses the need for robust IP protection in the engineering and design industries, integrating cybersecurity and compliance measures to safeguard digital assets.
Blockchain:
- Violetta’s entry into the blockchain sector began with the founding of CADChain, which uses blockchain as a core technology for securing and managing CAD data.
- She holds several certifications in blockchain and has participated in major hackathons and policy forums, such as the OECD Global Blockchain Policy Forum.
- Her expertise extends to applying blockchain for IP management, ensuring data integrity, traceability, and secure sharing in the CAD industry.
Violetta is a true multiple specialist who has built expertise in Linguistics, Education, Business Management, Blockchain, Entrepreneurship, Intellectual Property, Game Design, AI, SEO, Digital Marketing, cyber security and zero code automations. Her extensive educational journey includes a Master of Arts in Linguistics and Education, an Advanced Master in Linguistics from Belgium (2006-2007), an MBA from Blekinge Institute of Technology in Sweden (2006-2008), and an Erasmus Mundus joint program European Master of Higher Education from universities in Norway, Finland, and Portugal (2009).
She is the founder of Fe/male Switch, a startup game that encourages women to enter STEM fields, and also leads CADChain, and multiple other projects like the Directory of 1,000 Startup Cities with a proprietary MeanCEO Index that ranks cities for female entrepreneurs. Violetta created the "gamepreneurship" methodology, which forms the scientific basis of her startup game. She also builds a lot of SEO tools for startups. Her achievements include being named one of the top 100 women in Europe by EU Startups in 2022 and being nominated for Impact Person of the year at the Dutch Blockchain Week. She is an author with Sifted and a speaker at different Universities. Recently she published a book on Startup Idea Validation the right way: from zero to first customers and beyond, launched a Directory of 1,500+ websites for startups to list themselves in order to gain traction and build backlinks and is building MELA AI to help local restaurants in Malta get more visibility online.
For the past several years Violetta has been living between the Netherlands and Malta, while also regularly traveling to different destinations around the globe, usually due to her entrepreneurial activities. This has led her to start writing about different locations and amenities from the POV of an entrepreneur. Here’s her recent article about the best hotels in Italy to work from.
About the Publication
Fe/male Switch is an innovative startup platform designed to empower women entrepreneurs through an immersive, game-like experience. Founded in 2020 during the pandemic "without any funding and without any code," this non-profit initiative has evolved into a comprehensive educational tool for aspiring female entrepreneurs.The platform was co-founded by Violetta Shishkina-Bonenkamp, who serves as CEO and one of the lead authors of the Startup News branch.
Mission and Purpose
Fe/male Switch Foundation was created to address the gender gap in the tech and entrepreneurship space. The platform aims to skill-up future female tech leaders and empower them to create resilient and innovative tech startups through what they call "gamepreneurship". By putting players in a virtual startup village where they must survive and thrive, the startup game allows women to test their entrepreneurial abilities without financial risk.
Key Features
The platform offers a unique blend of news, resources,learning, networking, and practical application within a supportive, female-focused environment:
- Skill Lab: Micro-modules covering essential startup skills
- Virtual Startup Building: Create or join startups and tackle real-world challenges
- AI Co-founder (PlayPal): Guides users through the startup process
- SANDBOX: A testing environment for idea validation before launch
- Wellness Integration: Virtual activities to balance work and self-care
- Marketplace: Buy or sell expert sessions and tutorials
Impact and Growth
Since its inception, Fe/male Switch has shown impressive growth:
- 5,000+ female entrepreneurs in the community
- 100+ startup tools built
- 5,000+ pieces of articles and news written
- 1,000 unique business ideas for women created
Partnerships
Fe/male Switch has formed strategic partnerships to enhance its offerings. In January 2022, it teamed up with global website builder Tilda to provide free access to website building tools and mentorship services for Fe/male Switch participants.
Recognition
Fe/male Switch has received media attention for its innovative approach to closing the gender gap in tech entrepreneurship. The platform has been featured in various publications highlighting its unique "play to learn and earn" model.