Why Enovix Stock Is Rising After Hours

Enovix Corporation ENVX shares are trading higher after-hours on Wednesday. The company announced the acquisition of Korean battery manufacturer Routejade.

What To Know: The total cost of the acquisition was approximately 6.2 million shares of Enovix common stock and $16.5 million in cash and is expected to close in the fourth quarter of 2023. Purported benefits to Enovix from the acquisition include the establishment of the company's presence in Korea, which is strategically close to key customers equipment and raw materials suppliers.

"This is a compelling acquisition with a strong ROI profile for Enovix given the obvious financial benefits of vertically integrating coating while providing our R&D team quicker access to new materials to enhance our product roadmap and benefit customers," said Raj Talluri, president and CEO of Enovix.

"My vision is for Enovix to grow our battery performance metrics at a significantly faster rate than the industry by harnessing the materials agnostic nature of our architecture and this transaction accelerates our ability to execute that plan."

Related Link: Why KB Home Stock Is Sinking After-Hours

ENVX Price Action: Shares of ENVX were up 1.12% at $12.60 after-hours at the time of publication, according to Benzinga Pro.

Image by Alexei from Pixabay.