Feb. 4 (UPI) -- Tesla said Monday it's acquired ultracapacitors manufacturer Maxwell Technologies, a California company that seeks to revolutionize electric vehicles.
Maxwell is working on new technology that can store and rapidly deliver surges of energy along with new battery technology that's more efficient than today's lithium ion products.
The stock deal values Maxwell at $218 million, a 55 percent premium to the share price, which closed at $3.07 Friday.
"We are always looking for potential acquisitions that make sense for the business and support Tesla's mission to accelerate the world's transition to sustainable energy," Tesla said in a statement.
The innovation could be particularly useful in heavier vehicles that rely on regenerative braking for system economics, Oppenheimer analyst Colin Rusch said Monday.
"As [Tesla] works toward lowering EV prices to expand its addressable market while maintaining [gross margins], we view battery cost, weight and performance as the key drivers," Rusch said.
Maxwell CEO and President Franz Fink called Tesla a well-respected and world-class innovator that "shares a common goal of building a more sustainable future."