Redwood Materials reportedly cuts 5% of staff after $350M raise

In Brief

Fresh disconnected a $350 cardinal raise, artillery recycler and cathode-maker Redwood Materials is reportedly cutting astir 5% of its workforce, according to Bloomberg News.

Nevada-based Redwood employees astir 1,200 employees, truthful the cuts impact a fewer twelve workers.

The company, founded successful 2017 by erstwhile Tesla CTO JB Straubel, initially focused connected recycling scrap from artillery compartment production, user electronics, and utilized EV batteries. The institution extracts materials similar cobalt, nickel, and lithium from those discarded goods and past sells them backmost to its customers, which includes Panasonic. Redwood has since added cathode production.

It precocious launched a caller concern that uses those aged EV batteries successful vigor retention products — a assemblage that has taken disconnected during the roar of power-hungry AI information centers. As of June, the institution had stockpiled much than 1 gigawatt-hour worthy of batteries for this purpose.

The $350 cardinal Series E, announced successful October, boosted the company’s valuation to astir $6 billion, arsenic TechCrunch previously reported. A spokesperson declined to remark connected the layoffs.

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