Highpower Makes Its First Large Scale Entrance Into Chinese Electric Vehicle (EV) Market With an Order for Large Format Lithium Polymer Batteries Batteries to Be Used in Electric Buses SAN FRANCISCO, CA and SHENZHEN, CHINA -- (Marketwired) -- 02/25/14 -- Highpower International, Inc. (NASDAQ: HPJ), a developer, manufacturer, and marketer of nickel-metal hydride (Ni-MH) and lithium rechargeable batteries, and a battery management solution and recycling provider, today announced that the company has received its first-ever order for large format lithium batteries to be used in electric buses from Huizhou Yipeng Energy Technology Ltd. ("Huizhou Yipeng"), a system integrator serving various large bus manufactures throughout China. This order marks Highpower's first large scale entrance into the EV segment. Highpower will deliver to Huizhou Yipeng two formats of product including16 ampere hour and 20 ampere hour NCM [Li(NiCoMn)O2] lithium polymer batteries that have passed the quality test from China National Quality Center (CNQC) and Huizhou Yipeng. These batteries will be used in some of China's well-known brands of hybrid electric buses and plug-in hybrid electric buses. It is estimated that each hybrid electric bus will be using 96 of 16-ampere-hour battery while each plug-in hybrid electric bus will use 288 of 20-ampere-hour battery. Highpower expects sales to Huizhou Yipeng will range between $4 million and $5 million during fiscal year 2014. Mr. George Pan, Chairman and CEO of Highpower International, commented, "This order represents a significant milestone for Highpower, as we now have expanded our target market from the traditional consumer electronics market into the rapidly growing electric vehicles segment. We are also pleased to have teamed up with a great customer in the EV market. The founder of Huizhou Yipeng, who worked for the Ministry of Transportation for many years, has not only accumulated deep knowledge and understanding of the national EV policy, but is also extremely resourceful in the EV industry. Many key members of Huizhou Yipeng's technical team, most notably in its battery management system (BMS), have years of prior R&D and business development experiences with global auto companies such as General Motor, Ford, Eaton Corp and ZF. By collaborating with Huizhou Yipeng, we expect to fast track our penetration into the EV market." Mr. Pan continued, "In 2008 and 2010, we supplied a small test quantity of rechargeable lithium polymer batteries to be used on some electric buses for the Beijing Olympic Games and the Shanghai World Expo. Building on this experience, over the past few years we have strengthened our R&D efforts in battery technology and new material, accumulated extensive technical know-how, and improved production capabilities on rechargeable lithium batteries. In conjunction with the ramping up of our new lithium battery factory in Huizhou, we believe now is the appropriate time for us to evolve, penetrate and capitalize on the electric transportation space and meet tremendous demand for advanced lithium battery products from the fast-emerging EV market. The Chinese Government is highly committed to the EV market with the "Energy Saving and New Energy Car Industry Development Plan" aiming to increase annual production of pure EV and plug-in hybrid EVs to 500,000 by 2015 and over 5 million by 2020." "We are confident that Highpower is on the right track to diversify our rechargeable battery businesses from not only consumer electronics but also to the electrical transportation and industrial energy storage markets, ultimately becoming a global leader in every aspect of rechargeable battery applications, including recycling, processing and reusing," concluded Mr. Pan. About Highpower International, Inc. Highpower International was founded in 2001 and produces high-quality Nickel-Metal Hydride (Ni-MH) and lithium-based rechargeable batteries used in a wide range of applications such as electric bikes, energy storage systems, power tools, medical equipment, digital and electronic devices, personal care products, and lighting, etc. With over 3,000 employees and advanced manufacturing facilities located in Shenzhen and Huizhou of China, Highpower is committed to clean technology, not only in the products it makes, but also in the processes of production. The majority of Highpower International's products are distributed to worldwide markets mainly in the United States, Europe, China and Southeast Asia. Forward-Looking Statements This press release contains "forward-looking statements" within the meaning of the "safe-harbor" provisions of the Private Securities Litigation Reform Act of 1995 that are not historical facts. These statements can be identified by the use of forward-looking terminology such as "believe," "expect," "may," "will," "should," "project," "plan," "seek," "intend," or "anticipate" or the negative thereof or comparable terminology, and include discussions of strategy, and statements about industry trends and the Company's future performance, operations and products. Such statements involve known and unknown risks, uncertainties and other factors that could cause the Company's actual results to differ materially from the results expressed or implied by such statements. For a discussion of these and other risks and uncertainties see "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in the Company's public filings with the SEC. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct. The Company has no obligation to update the forward-looking information contained in this press release. Financial Profiles, Inc. Tricia Ross +1-310-622-8226 HPJ@finprofiles.com
Highpower Makes Its First Large Scale Entrance Into Chinese Electric Vehicle (EV) Market With an Order for Large Format Lithium
Press spacebar to pause and continue. Press esc to stop.