LG Energy Solution will soon own the NextStar Energy plant on Banwell Road outright.
Stellantis has agreed to sell its 49 per cent equity stake in the plant to LG Energy Solution.
The two companies built the plant, which employs 1,300 workers so far, as a joint venture.
"The ownership transition is a mutually agreed, strategic decision by the joint venture's two shareholders," said a release. "The decision was informed by extensive engagement with NextStar Energy's leadership team to ensure a seamless transition and strengthen the company's long-term growth and investment outlook."
Eventually, NextStar Energy plans to employ 2,500 workers.
LG Energy Solution will soon own the NextStar Energy plant on Banwell Road outright.
Stellantis has agreed to sell its 49 per cent equity stake in the plant to LG Energy Solution.
The two companies built the plant, which employs 1,300 workers so far, as a joint venture.
"The ownership transition is a mutually agreed, strategic decision by the joint venture's two shareholders," said a release. "The decision was informed by extensive engagement with NextStar Energy's leadership team to ensure a seamless transition and strengthen the company's long-term growth and investment outlook."
Eventually, NextStar Energy plans to employ 2,500 workers.
The union that represents 800 of those workers, Unifor, reacted positively to the change, saying it "commends LGES for their versatility in pivoting to maintain production in a changing marketplace and for LGES's ongoing commitment to Canadian workers."
Late last year, NextStar Energy started producing a new battery for energy storage systems at the Windsor plant. It continues to make electric vehicle batteries at the same time. At the time, demand for electric vehicle batteries had failed to meet forecasts as the U.S. administration pulled back on electrification.
The workers represented by Unifor will continue to be employed under the terms of their collective agreement, which will expire in July.
