ABAT has long been in the small-sized lithium ion battery business, but has more recently expanded into the larger-format lithium ion battery for use in electric vehicles.
The company recently signed a $8.7 million contract with Beijing-based U Long Run Sheng Technology Development Co. to supply electric vehicle batteries. Separately, ABAT recently raised approximately $20 million in an equity financing, the proceeds of which will presumably be used to fund its upcoming acquisition of a Shenzhen-based, small-format battery maker (name yet to be disclosed). Adjusted for the equity offering, ABAT trades at approximately 13 times trailing 12 months' earnings. The company has over $60 million of cash on hand, but much of it is presumably committed to its various acquisition and expansion plans.
At the time of publication, Pearson was long CMTP.OB.
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