CBAK Energy Inks ¥180M Lithium-Ion Battery Order With Echom

CBAK Energy Technology Inc CBAT said its subsidiary, Nanjing CBAK New Energy Technology Co Ltd, has entered into a strategic agreement with Guangzhou Echom Science & Technology Co Ltd, an industrial design group in China.

Under the terms of the collaboration, Echom will purchase about ¥180 million worth of CBAK Energy's cylindrical lithium-ion batteries over the next three years.

The batteries proposed to be procured will primarily be the 32140 and 26700 series.

Also, Echom is obligated to prioritize CBAK Energy's batteries in its self-developed new energy storage products and ensure that over 50% of its relevant products utilize CBAK Energy's batteries. 

In exchange, Nanjing CBAK will guarantee a consistent and uninterrupted supply of the specified battery products for the duration of the agreement.

"Looking ahead, leveraging our innovative technology and solid production capability, we remain dedicated to improving our batteries' performance while accelerating broader product adoption, providing our partners with more value-added products, and further fortifying our leading industry position," said Chairman and CEO Yunfei Li.

Price Action: CBAT shares are trading higher by 0.88% at $1.14 on the last check Monday.