In May when we talked with PowerGenix, an eight-year-old startup that makes nickel-zinc batteries, the company’s CEO Dan Squiller told us the team was looking to raise a final round of funding in the coming months, followed by a possible IPO in 2010. Well, looks like the funding is right on schedule — this morning PowerGenix says it has raised $30 million in a Series D round led by Bessemer Venture Partners and including existing investors Angeleno Group, Advent International, Braemar Energy Ventures, Granite Ventures, OnPoint Technologies and Technology Partners.
PowerGenix already sells its batteries into the power tool and scooter market (including electric bikes), but is angling to sell its batteries into the hybrid vehicle market, specifically parallel hybrids like the Prius — the company isn’t shooting for the all electric vehicle market. PowerGenix claims that its nickel-zinc battery is 35 percent smaller than the Prius’ nickel metal hydride battery, has a better energy density and also costs less.
Previously PowerGenix raised $30.8 million, and this latest round brings the company’s total to $60.75 million. Will this latest funding put the company on track for growth and an IPO in 2 years? We’re not sure, but it’s a positive sign that lithium ion battery maker A123Systems is going public.