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China BAK Battery Announces 3-year Agreement - (NASDAQ: CBAK)
China BAK Battery, a leading global manufacturer of lithium-based battery cells, today announced a three-year Preferred Vendor Agreement with Beaverton, Oregon based Micro Power Electronics (MPE), for lithium-ion cells to be built into sophisticated packs by Micro Power.
Commenting on the agreement, Steven Ruth, Vice President of North American Business for China BAK said, "China BAK is honored to partner with Micro Power, a global leader in portable power systems. We look forward to becoming an integral part of Micro Power's supply chain."
Chinas BAK Battery produces battery cells that are the principal component of rechargeable batteries used to power applications, such as cellular phones; notebook computers; portable consumer electronics, such as digital cameras, portable media players, portable gaming devices and personal digital assistants (PDAs), and other applications, such as cordless power tools, mining lamps, light electric vehicles and hybrid electric vehicles.
The company is well positioned as it produces battery cells for highly demanded products. Further three-year Preferred Vendor Agreements are always a plus, however, the stock is actually trading lower today. CBAK is trading at $1.85 down $0.05 or 2.6% on below average volume of 270k. It looks like investors aren't convinced just yet, awaiting to see how the partnership will affect revenues in the future.
Disclosure: no positions
To view this article at World Market Media click on the link below: http://www.worldmarketmedia.com/779/section.aspx/1738/post/china-bak-battery-announces-3-year-agreement-nasdaq-cbak
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