Do-Fluoride: further business layout from Li-ion battery to alternative energy vehicle 05-30-2016

On 15 Feb., 2016, Do-Fluoride Chemicals Co., Ltd. (Do-Fluoride) announced that it had signed the Letter of Intent for Cooperation with Shanxi House of The Huangcheng Chancellor Yuhang Bus Co., Ltd. (Yuhang Bus) and its shareholders, about the acquisition of the company, and had reached a preliminary intent with Shanxi Royal Prime Minister’s Palace Middle Energy Co., Ltd. (Zhongdao Energy) and its shareholders, on acquiring it.


“The cooperation is another step for us to further extend the alternative energy vehicle industry chain,” stated Do-Fluoride, “We will vigorously make use of Yuhang Bus and Zhongdao Energy’s advantages to complete our supply chain.”


About companies


Yuhang Bus is mainly producing all-electric city bus (6 metre, 6.6 metre and 8.5 metre), all-electric multi-purpose bus (6 metre and 7 metre) and touring bus (8 metre). Meanwhile, it has developed gas-electric hybrid city bus (10.5 metre and 12 metre) and compressed natural gas bus (6-12 metre).


In total, 19 alternative energy and traditional buses have been listed by the Ministry of Industry and Information Technology of the People’s Republic of China in the Vehicle Producers and Vehicles.


Zhongdao Energy’s portfolio spans 60260 cylinder high energy density and high capacity power Li-ion battery and 18650 cylinder battery, prismatic battery for camp lamp, power battery for electric motorcycle and electric bicycle and specialty battery for military use.


In Nov. 2010, Do-Fluoride invested USD52.49 million (RMB344 million) in constructing projects of electrolyte, lithium hexafluorophosphate (LiPF6), battery grade lithium fluoride and electronic grade hydrofluoric acid. In 2011, it achieved the small-scale production of LiPF6 (200 t/a).


In March 2015, the company disclosed on the investor information exchange platform that it had established a vehicle research institute and had bought 4 vehicles for refitting and test.


Though the company has not yet released the full-year 2015 financial report, Do-Fluoride has expected the net profit to rise by 800-850% to USD5.80-6.12 million (RMB38.00-40.11 million), thanks to the significantly increasing sales of power Li-ion battery and the strong profitability of LiPF6.


In fact, benefiting from the alternative energy business, the company has already made big progress in financial performance. In Q1 2015, it made the net profit of USD1.27 million (RMB8.34 million), and then USD4.44 million (RMB29.12 million) in Q3, a rise of over 3 times.

 

* News on Tonghuashun Finance (http://www.10jqka.com.cn, a platform offering financial information), translated by CCM.



About CCM:

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Tag: Fluoride   Li-ion battery


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