Pihsiang to Build New Lithium-ion Cell Plant in Taiwan by Year-end

Taipei, Aug. 17, 2011 (CENS)--Pihsiang Machinery Manufacturing Co., Ltd. (PMMC) of Taiwan recently announced its plan to invest NT$4.5 billion (US$155.2 million) to construct a lithium-ion battery cell plant with initial annual capacity of some 150 million cells in Tongluo, Miaoli County in northern Taiwan.

According to PMMC, a leading manufacturer of electric scooters for seniors and handicapped people as well as an aggressive player in electric vehicles (EVs), it plans to go public on the NASDAQ by the end of this year to raise necessary funds for the plant construction.

The company explained that it will complete all paperwork to go public on the NASDAQ by the year-end, and is expected to be approved by the first quarter of 2012.

PMMC said that the construction, to take 15 to 18 months, will start by the year-end, with designed annual capacity of 150 million C-LiFePO4 cells to be 10-fold that of PMMC's battery-cell subsidiary Pihsiang Energy Technology Co., Ltd. (PHET).

PHET reported net loss of NT$36 million (US$1.24 million) in the first half, compared to a loss of NT$60 million (US$2.1 million) in the same period of 2010.

PMMC has sent several electric buses and EV-use battery modules to Chinese vehicle makers for certifications, reflecting its aggressive effort in China's EV market in recent years.

PMMC registered consolidate revenue of NT$344 million (US$11.9 million) in the second quarter, up 43% from the first quarter. Some institutional investors forecast that the firm's third-quarter revenue would climb 8% QoQ to reach about NT$370 million (US$12.8 million).