Samsung SDI said on Tuesday that its subsidiary in Hungary will commence a rights offering worth 403.8 billion won.
The company will also offer a guaranteed loan of 534.8 billion won to Samsung SDI Hungary Zrt.
Totaling around 1 trillion won, the added fun will be used to expand its battery factory at Goed, Hungary.
The plant is currently at the second stages of expansion. The second factory will have more than double the production capacity of the first.
It will manufacture Gen 5 batteries made with new materials that increases energy density.
The second factory will have seven production lines and over 10 assembly lines. It will be able to manufacture 12 million battery cells per month when completed.
Samsung SDI is investing 1.2 trillion won up to 2030 to secure a production capacity of 18 million cells per month.