By Guy Taylor
A trio of former Tesla executives are set to take charge of the London-listed battery and electric motor developer DG Innovate.
The deal will see £2.4m pumped into the Welsh-based tech group through a convertible note fundraise, helping it turnaround a string of lossmaking results.
Should the proposals pull through, it would mark a significant boost for London’s embattled bourse, which has struggled to retain technology companies this year.
The Tesla executives, who met while working for the electric carmaker in Europe, will fill the roles of chief executive and executive directors.
They include Peter Bardenfleth-Hansen, who will head up the firm following experience as chief executive of Zaptec, which develops charging systems for electric vehicles.
Industry veteran Jochen Rudat, who played a pivotal role in Tesla’s expansion into China, will become an executive director alongside Christian Eidem, a former adviser to Elon Musk and a classmate of the billionaire at the business school Wharton.
Eidem has also acquired a 29.3 per cent stake in the company, according to a London Stock Exchange statement this morning.
Incoming chief Bardenfleth-Hansen, said: “Jochen, Christian and I have spent a collective 90 years in this industry, and in the last few years have looked at hundreds of different technologies to invest in and commit to across the globe – DGI’s technology was the standout.”
“We look forward to working with the DGI team, and alongside investment from leading investors we have the opportunity to leverage DGI’s technology and build a scaled business focused on green technology.”
Nick Tulloch, who will retain his role as chairman under the restructuring, said: “The new executive management team, with their world-class track record in the electric vehicle and mobility sector, recognise the significant commercial potential in DG Innovate’s technology and the wider opportunity to use DG Innovate as a platform to build a larger company focused on the sector.”
DG Innovate has a valuation of £4.6m. The company develops alternativebatteries for electric vehicles and has worked with the Ministry of Defence to produce electric drive systems for heavy goods vehicles.
The deal was brokered by the investment group Patronus Partners and will see the management team and shareholders acquire around 40 per cent of the business.
