DALIAN, China, March 16, 2016 /PRNewswire/ --China BAK Battery, Inc. (NASDAQ: CBAK) ("China BAK", or the "Company"), the world's leading lithium battery manufacturer and electric energy solution provider, announced today that it has reached a purchase contract with Sysgration (Zhenjiang) Co., Ltd. ("Sysgration"), a leading manufacturer of automotive electronics products and smart home devices. Under the contract, Sysgration undertakes to purchase from China BAK for no less than 6 million units of 26650 high power lithium batteries in calendar year 2016, for use in Sysgration's battery packs supplied to electric vehicles manufacturers. China BAK will supply the batteries through its wholly-owned operating subsidiary, Dalian BAK Power Battery Co., Ltd., a specialized high power battery provider in Dalian.
The 26650 high power lithium battery is one of China BAK's most popular self-developed products. It has outstanding performance, such as high capacity, stability and safety, which has been used in various kinds of electric vehicles and gets good reputations from electric vehicle customers. China BAK has been dedicated to the research and development and commercial use of high power lithium batteries for many years. Apart from the 26650 lithium battery, China BAK has also developed several other lithium batteries, such as 26700HC, 26700HE, 26650HC and 26650HE, etc.
"We are glad to enter into the large-quantity purchase contract with Sysgration, which reflects the market recognition of our high power battery products for use in electric vehicles. It encourages us to continue investment on the R&D of high power lithium batteries and expansion of high power lithium battery production lines. It is a good beginning for year 2016, and with the surging electric vehicle markets, we believe we will enter into more lithium battery agreements with customers," commented Mr. Yunfei Li, the CEO of China BAK.
About Sysgration (Zhenjiang) Co., Ltd
Sysgration (Zhenjiang) Co., Ltd., established in 2013, is one of the China mainland subsidiaries of Sysgration Ltd, which was founded in Taiwan in 1977 as a supplier of automotive electronics products, peripheral, and power solution. In 1996, Sysgration Ltd. is listed in the Taiwan Stock Exchange (TWSE) under the symbol of 5309. In its first 20 years, Sysgration has supported global partners as their trusted commitment OEM development and manufacturing. Sysgration has built its reputation by supporting advanced OEM peripheral for branded company. In the recent decade, Sysgration has positioned as manufacturer of IoV(Internet of Vehicle) automotive electronics products and IoT(Internet of Things) smart home devices.
About China BAK Battery, Inc.
China BAK Battery, Inc. (NASDAQ: CBAK) is a global leading high-tech enterprise engaged in the R&D, manufacture, and sales of high power lithium batteries. The application of its products and solutions covers such areas as electric vehicles, light electric vehicles, electric tools, transportation and energy storage. As the first lithium battery company in China to get listed in the U.S. in January 2005, CBAK possesses China's first production base specially engaged in power battery, and has its wholly-owned subsidiary – Dalian BAK Power Battery Co., Ltd., and a large-scale R&D and production base in Dalian. For more information, please visit www.cbak.com.cn.
Safe Harbor Statement
This press release contains forward-looking statements, which are subject to change. The forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All "forward-looking statements" relating to the business of China BAK Battery, Inc. and its subsidiary companies, which can be identified by the use of forward-looking terminology such as "believes," "expects" or similar expressions, involve known and unknown risks and uncertainties which could cause actual results to differ. These factors include but are not limited to: the ability of the Company to meet its contract obligations; the uncertain market for the Company's high-power lithium and other battery cells; business, macroeconomic, technological, regulatory, or other factors affecting the profitability of battery cells designed for electric vehicles; and risks related to China BAK's business and risks related to operating in China. Please refer to China BAK's Annual Report on Form 10-K for the fiscal year ended September 30, 2015, as well as other SEC reports that have been filed since the date of such annual report, for specific details on risk factors. Given these risks and uncertainties, you are cautioned not to place undue reliance on forward-looking statements. China BAK's actual results could differ materially from those contained in the forward-looking statements. China BAK undertakes no obligation to revise or update its forward-looking statements in order to reflect events or circumstances that may arise after the date of this release.
SOURCE China BAK Battery, Inc.