Constellium signs long-term agreement with Lotte Infracell and invests to increase capacity at its Singen facility to supply foilstock for battery applications in Europe

Rhea-AI Summary

Constellium SE (NYSE: CSTM) has signed a long-term agreement with Lotte Infracell to supply foilstock for battery applications in Europe. This partnership underscores Constellium's commitment to the growing electric vehicle (EV) market. With Lotte Infracell's financial support, Constellium plans to invest €30 million in new finishing lines at its Singen facility in Germany, enhancing production capacity and creating 20 new jobs.

The investment aims to strengthen Constellium Singen's position in the aluminium automotive specialties market. Aluminium's properties, including lighter weight, conductivity, and chemical stability, make it advantageous for large-scale production of EV batteries. This collaboration ensures a reliable supply of high-quality foilstock for Lotte's battery applications, supporting the rapid growth of the EV market in Europe.

Positive

• Signed long-term agreement with Lotte Infracell for foilstock supply
• €30 million investment in new finishing lines at Singen facility
• Creation of 20 new jobs at Singen site
• Strengthening position in aluminium automotive specialties market
• Expansion into growing electric vehicle battery market

Negative

• None.

PARIS, July 23, 2024 (GLOBE NEWSWIRE) -- Constellium SE (NYSE: CSTM) announced today that it has signed a long-term agreement with Lotte Infracell, a subsidary of Lotte Aluminium, a leading provider of aluminium solutions, to supply foilstock for Lotte's battery foil applications in Europe. This partnership highlights Constellium's commitment to the growing electric vehicle (EV) market and its strategic focus on cutting-edge automotive aluminium solutions.

Under this agreement, Constellium will supply high-quality foilstock from its Singen site in Germany. With Lotte Infracell’s financial support, Constellium is planning to invest around €30 million in new finishing lines at its Singen facility to enhance production capacity, creating around 20 new jobs in the process. This strategic investment is expected to further cement Constellium Singen's position as a key player in the aluminium automotive specialties market.

“We are thrilled to collaborate with Lotte Infracell and supply their European operations with our high-quality foilstock,” said Jean-Marc Germain, CEO of Constellium. “This partnership is a testament to Constellium's expertise in developing cutting-edge aluminium solutions for the growing electric vehicle market. Our investment in the Singen site underscores our commitment to innovation and our dedication to meeting the evolving needs of our customers.”

“We are excited to partner with Constellium, a renowned leader in aluminium automotive specialty solutions,” said Mr. Yon Su Choi, CEO of Lotte Aluminium and Lotte Infracell. “This collaboration will ensure a reliable supply of high-quality foilstock for our battery applications, supporting the rapid growth of the electric vehicle market in Europe.”

Aluminium's lighter weight, conductivity, chemical stability, and lower cost provide a balanced combination of properties that are particularly advantageous for the large-scale production of batteries for electric vehicles. Constellium’s innovative aluminium products are well-suited to meet the demands of this dynamic market, providing superior performance and contributing to the overall sustainability of electric vehicles.

About Constellium

Constellium (NYSE: CSTM) is a global sector leader that develops innovative, value-added aluminium products for a broad scope of markets and applications, including aerospace, automotive and packaging. Constellium generated €7.2 billion of revenue in 2023.
www.constellium.com

Forward-looking statements

Certain statements contained in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. This press release may contain “forward-looking statements” with respect to our business, results of operations and financial condition, and our expectations or beliefs concerning future events and conditions. You can identify forward-looking statements because they contain words such as, but not limited to, “believes,” “expects,” “may,” “should,” “approximately,” “anticipates,” “estimates,” “intends,” “plans,” “targets,” likely,” “will,” “would,” “could” and similar expressions (or the negative of these terminologies or expressions). All forward-looking statements involve risks and uncertainties. Many risks and uncertainties are inherent in our industry and markets, while others are more specific to our business and operations. These risks and uncertainties include, but are not limited to: market competition; economic downturn; disruption to business operations; the Russian war on Ukraine; the inability to meet customer demand and quality requirements; the loss of key customers, suppliers or other business relationships; supply disruptions; excessive inflation; the capacity and effectiveness of our hedging policy activities; the loss of key employees; levels of indebtedness which could limit our operating flexibility and opportunities; and other risk factors set forth under the heading “Risk Factors” in our Annual Report on Form 20-F, and as described from time to time in subsequent reports filed with the U.S. Securities and Exchange Commission. The occurrence of the events described and the achievement of the expected results depend on many events, some or all of which are not predictable or within our control. Consequently, actual results may differ materially from the forward-looking statements contained in this press release. We undertake no obligation to update or revise any forward-looking statement as a result of new information, future events or otherwise, except as required by law.

Investor Relations	Communications
Jason Hershiser	Delphine Dahan-Kocher
Phone: +1 443 988-0600	Phone: +1 443 420 7860
investor-relations@constellium.com	delphine.dahan-kocher@constellium.com

FAQ

What is the purpose of Constellium's (CSTM) agreement with Lotte Infracell?

Constellium (CSTM) has signed a long-term agreement with Lotte Infracell to supply foilstock for battery applications in Europe, supporting the growing electric vehicle market.

How much is Constellium (CSTM) investing in its Singen facility?

Constellium (CSTM) is planning to invest approximately €30 million in new finishing lines at its Singen facility in Germany.

How many new jobs will Constellium's (CSTM) investment create at the Singen site?

Constellium's (CSTM) investment in the Singen facility is expected to create around 20 new jobs.

Why is aluminium important for electric vehicle batteries according to Constellium (CSTM)?

According to Constellium (CSTM), aluminium's lighter weight, conductivity, chemical stability, and lower cost make it advantageous for large-scale production of electric vehicle batteries.