For decades, nickel-hydrogen batteries have quietly powered space projects like the International Space Station and Hubble Space Telescope. Now, a startup in California aims to utilize this technology on Earth and has secured significant funding to do so.
EnerVenue has raised $300 million in a Series B extension, led by Full Vision Capital, tied to Hong Kong billionaire Peter Lee Ka-kit. This round increases the company’s total funding to $445 million, as listed by Crunchbase. The funds will support the scale-up of its non-lithium metal-hydrogen energy storage systems at its Changzhou, China factory, with goals to achieve gigawatt-scale production.
Simultaneously, the company appointed Henning Rath, experienced in technology and formerly with German renewable energy firm Enpal, as its new global CEO. They also announced plans to set up a regional headquarters and innovation center in Hong Kong, backed by the Hong Kong Investment Corporation.
“The capital is crucial for further research and development of our core technologies, the ramp-up of large-scale manufacturing, reinforcement of supply-chain robustness, and expansion of global commercial reach,” Rath stated according to the South China Morning Post.
EnerVenue, founded in 2020 by Stanford professor Yi Cui, focuses on adapting nickel-hydrogen cells for grid-scale storage. The batteries use a water-based electrolyte, avoiding the flammable risks of lithium-ion systems, allowing operation between -40 to 50 degrees Celsius.
Their focus is on longevity and cost-effectiveness, not just energy density. While lithium-ion batteries degrade over a few thousand cycles, EnerVenue claims its cells last tens of thousands of cycles safely and cost-effectively.
This proposition has attracted significant backers. Aramco Ventures, NEOM Investment Fund, SAIC Capital, and IDG Capital have invested in the company. In 2021, Towngas secured an exclusive distribution deal for EnerVenue’s products in China. Towngas, chaired by Lee, is a minority shareholder in EnerVenue.
The investment comes amid a push to diversify the energy storage market beyond lithium-ion solutions. Demand for stable and safe grid-scale storage is rising due to the growth of AI-driven data centers and renewable energy. EnerVenue’s nickel-hydrogen technology enters this competitive market, alongside other alternatives like iron-air and vanadium flow batteries, as well as traditional lithium-ion and pumped hydro storage.
EnerVenue plans to expand its facility in Changzhou, Jiangsu province, aiming for a 250 MWh production line by 2026, targeting one gigawatt-hour annual capacity. Using Hong Kong as a base, the company seeks to expand into Asia-Pacific, Middle Eastern, and European markets, targeting utility-scale, industrial applications, and infrastructure requiring long-duration power.
Time magazine recognized EnerVenue as one of the top 10 US green technology companies in 2025, highlighting the interest in lithium alternatives. Whether EnerVenue can leverage its aerospace history and significant funding to challenge lithium’s dominance on the grid remains the central question. The $300 million investment and new leadership indicate that investors are optimistic.