READING, Pennsylvania, September 28, 2011 /PRNewswire/ --
EnerSys (NYSE: ENS), the global leader in stored energy solutions for industrial applications, announced today it has entered into a definitive agreement to launch a joint venture in Germany to produce large format lithium-ion battery cells.
EnerSys will have a majority interest in the joint venture in cooperation with GAIA Akkumulatorenwerke GmbH ("GAIA"), a wholly owned subsidiary of Lithium Technology Corporation ("LTC"). The joint venture will include LTC's contribution of certain intellectual property, and its lithium-ion manufacturing capability located in Nordhausen, Germany. It is anticipated the joint venture will commence operations in October 2011.
EnerSys and GAIA have had a distribution agreement for the past three years. This joint venture will expand the relationship between the two companies. A new company has been formed, EAS Germany GmbH, which will further the development and production of lithium-ion based solutions for space, naval, marine, renewable energy and specialty high power applications for EnerSys. The joint venture will also provide certain products to LTC for their customers in the transportation sector.
"This joint venture presents several benefits to EnerSys," commented John Craig, chairman, president and chief executive officer of EnerSys. "It represents our fourth investment in advanced lithium based batteries to support our global customers and business. Additionally, we will now have three focused plants in Germany producing advanced lithium, nickel and lead-based products to provide our customers the best energy storage solution for their applications."
Fred Mulder, Chairman of LTC, explained "Our proven product and process technologies are widely respected by our customers and this joint venture with EnerSys will allow for additional investment as well as sales and distribution support for the industrial markets worldwide. Separate from the joint venture with EnerSys, LTC will continue promoting the development of our solutions for the transportation industry."
About EnerSys: EnerSys, the global leader in stored energy solutions for industrial applications, manufactures and distributes reserve power and motive power batteries, chargers, power equipment, and battery accessories to customers worldwide. Motive power batteries are utilized in electric forklift trucks and other commercial electric powered vehicles. Reserve power batteries are used in the telecommunication and utility industries, uninterruptible power supplies, and numerous applications requiring stored energy solutions including aerospace and defense systems. The company also provides aftermarket and customer support services to its customers from over 100 countries through its sales and manufacturing locations around the world.
Caution Concerning Forward-Looking Statements
This press release and oral statements made regarding the subjects of this release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements may include, but are not limited to, (i) statements regarding EnerSys' plans, objectives, expectations and intentions and other statements contained in this press release that are not historical facts, including statements identified by words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates," "will" or words of similar meaning; and (ii) statements about the benefits of the joint venture, including any impact on our financial and operating results and estimates, and any impact on EnerSys' market position that may be realized from the acquisition.
These forward-looking statements are based upon management's current beliefs or expectations and are inherently subject to significant business, economic, and competitive uncertainties and contingencies many of which are beyond our control. The following factors, among others, could cause actual results to differ materially from those described in the forward-looking statements: (1) our ability to successfully operate the joint venture; (2) the possibility that EnerSys may not realize revenue benefits from the joint venture within expected time frames; and (3) competition may adversely affect the joint venture and result in customer loss. The statements in this press release are made as of the date of this press release, even if subsequently made available by EnerSys on its website or otherwise. EnerSys does not undertake any obligation to update any forward-looking statement to reflect circumstances or events that occur after the date such forward-looking statement is made.
Although EnerSys does not make forward-looking statements unless it believes it has a reasonable basis for doing so, EnerSys cannot guarantee their accuracy. The foregoing factors, among others, could cause actual results to differ materially from those described in these forward-looking statements. For a list of other factors which could affect EnerSys' results, including earnings estimates, see EnerSys' filings with the Securities and Exchange Commission, including "Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations," including "Forward-Looking Statements," set forth in the Company's Quarterly Report on Form 10-Q for the period ended July 3, 2011. No undue reliance should be placed on any forward-looking statements.