Samsung SDI has held the opening ceremony to start operations of Samsung SDI Battery Systems (SDIBS) in Graz, Austria.

In February 2015, Samsung SDI agreed to purchase the battery pack business of Magna International. The acquisition is expected to enhance Samsung SDI’s capabilities in batteries for electric vehicles.

With the development, Samsung SDI has brought the entire battery pack business from Magna Steyr, an Austria-based operating unit of Magna International, including all 264 employees, production and development sites, as well as existing business contracts.

“The opening of SDIBS is a key step towards becoming the leading automotive battery system supplier,” said Samsung SDI president and CEO, Namseong Cho.

“Samsung SDI will integrate SDIBS’ capabilities in battery pack systems, with its cell technology to create world class automotive battery systems.”

The global market for electric vehicles, including hybrid and plug-in hybrid models, is forecast to reach 7.7m by 2020, compared with 2.1m in 2014, according to research firms B3 and IHS.