CBAK Energy Technology makes strategic investment in BAK Power

CBAK Energy Technology’s wholly-owned subsidiary, Nanjing CBAK, has reached an agreement with Shenzhen BAK Battery to acquire from BAK Battery a 5% stake in Shenzhen BAK Power, an unrelated power battery R&D and manufacturing company. Nanjing CBAK will acquire a 5% stake in BAK Power for RMB260M – or approximately $35.57M -, based on a mutually agreed-upon fair market valuation of RMB5.2B or $710M. BAK Power has agreed to supply its battery products to CBAK Energy, creating synergy with batteries developed by CBAK Energy and reinforcing product supply while establishing non-compete agreements for certain key customers. Founded in 2001, BAK Power is a lithium battery manufacturer in China.