Ford Takes Full Ownership Of Kentucky Battery Plants Amid EV Spending Reset

• The company, in a filing, also stated that Ford’s unit, Ford Energy Battery, has acquired both Kentucky battery plants from BlueOval SK.
• Ford assumed all obligations under a $3.805 billion promissory note payable to the Department of Energy related to the single Kentucky plant for which advances had been made.
• In December 2024, BlueOval SK was established by Ford, SK On and SK Battery America to build and operate one battery plant in Tennessee and two in Kentucky

Ford Motor Co (F) drew investor attention premarket on Thursday after the automaker announced it had exited the BlueOval SK joint venture, a $9.6 billion Department of Energy-backed project, while simultaneously taking ownership of two Kentucky battery plants.

As per the terms of the separation, the move removes roughly $6.6 billion in future capital contribution to the joint venture over the next five years, though Ford will assume responsibility for the $3.805 billion Department of Energy-linked loan tied to one of the facilities: a move that comes as legacy automakers increasingly tighten their spending around EV expansion plans. 

Ford has also redeemed its membership interest in BlueOval SK and acquired both Kentucky battery plants from BlueOval SK via its unit, Ford Energy Battery. The BlueOval SK joint venture disposition agreement was announced in December 2025.

Details Of The DOE Loan 

Ford stated that the loan assumed by the company has an annual interest rate of 4.814%, and quarterly interest-only payments are required through January 15, 2030. 

The company further added that quarterly principal and interest payments commence on April 15, 2030, continuing through the final maturity date of July 15, 2040.

What Was The BlueOval SK Joint Venture?

In December 2024, BlueOval SK was established by Ford, SK On, and SK Battery America to build and operate one battery plant in Tennessee and two in Kentucky.

The Department of Energy agreed to finance the project and arrange up to $9.63 billion, with $7.84 billion advances subsequently made to the joint venture. In conjunction with the loan agreement, all the parties entered into a sponsorship agreement on December 13, 2024. Under this agreement, Ford guaranteed 50% of BOSK’s payment obligations of the BOSK DOE Loan.

According to the U.S. Department of Energy, the plants would be able to produce over 120 gigawatt-hours of U.S. battery capacity annually. The statement also noted that the plants created more than 5000 construction jobs during the construction phase and will create 7,500 operational jobs as a part of the joint venture.

This comes at a time when legacy automakers are prioritizing capital efficiency over aggressive EV expansion, as high battery costs and weaker EV margins weigh on profitability. 

What Does Retail Think Of Ford?

On Stocktwits, retail sentiment for the stock has remained ‘bullish’ while message volumes dropped to ‘high’ from ‘extremely high’ over the past 24 hours.

Shares of Ford have remained flat so far this year.

Editor’s Note: The headline and story have been updated for clarity. Ford’s BlueOval SK disposition agreement was originally disclosed in December 2025, while the latest filing reflects the transaction’s closing.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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