CBAK Energy Acquires 81.56% Stake In Zhejiang Meidu Hitrans For ~$24.50M

CBAK Energy Technology Inc CBAT subsidiary Dalian CBAK Power Battery Co., Ltd. will acquire a majority stake in Zhejiang Meidu Hitrans Lithium Battery Technology Co., a lithium-ion battery material supplier in China.
CBAK Power would acquire 81.56% of the equity interests of Hitrans currently held by Zhejiang Meidu Graphene Technology Co. and Hitrans management shareholders for ~RMB158.74 million (~$24.50 million).
The transaction will help CBAK Energy strengthen its supply chain and competitiveness in the high-power lithium battery market.
The transaction is expected to complete in 3Q of 2021.
CBAK Energy had Cash and cash equivalents of $11.7 million as of December 31, 2020.
Price action: CBAT shares are trading lower by 5.70% at $3.66 on the last check Monday.