Shares of QuantumScape Corp. (NYSE: QS) opened sharply higher on Thursday, surging more than 13% before paring gains. The stock was last up approximately 6%, trading at $7.330 per share.

The move follows the company's announcement of a joint development agreement with Honda R&D Co., Ltd., a subsidiary of the global automotive, motorcycle, and power equipment manufacturer Honda Motor Co., Ltd.

The partnership aims to combine the respective technological strengths of both parties to advance the commercialization of QuantumScape's solid-state battery technology platform. The multi-year collaborative project will focus on the development of solid-state batteries and the associated mass production processes.

Prior to finalizing this agreement, Honda had completed a technical evaluation phase with QuantumScape. During this stage, Honda conducted in-depth, hands-on technical studies of the QS solid-state battery platform and performed competitive benchmarking tests against multiple standard criteria.

Atsushi Ogawa, Chief Operating Officer of Honda R&D's Advanced R&D Center, commented on the evaluation, stating, "During the evaluation phase, QS's technology demonstrated uniquely competitive advantages. We believe this technology can create value in various fields, including automotive, and we look forward to moving the partnership to the next stage."