South Korea’s Samsung SDI said on Monday that it has signed a multi-year agreement with Mercedes-Benz to supply batteries for electric vehicles.

The agreement marks Samsung SDI’s first electric vehicle battery supply deal with the German automaker, expanding its footprint in the global EV market.

In a statement, Samsung SDI said the batteries will feature high-nickel NCM (nickel, cobalt and manganese) chemistry.

The company noted that the batteries are designed to power Mercedes-Benz’s next generation of electric vehicles.

According to the statement, Mercedes-Benz intends to use the batteries in future compact and mid-size electric SUVs.

They will also be deployed in upcoming coupe models, although Samsung SDI did not disclose the value or volume of the deal.