autoevolution
Car video reviews:
 

Chinese Company Wanxiang Gets Approval to Buy A123 Systems

Fisker has paused production of their Karma, which is currently being made at the Valmet factory, in Finland, due to the fact that they are close to running out of the huge lithium-ion battery packs needed to power the plug-in hybrid luxury sedan, as the battery manufacturer A123 Systems Inc. has gone bust and is now awaiting a new owner.
A123 Systems 1 photo
One of the two companies who have confirmed their interest in the ailing US battery maker is a Chinese company, Wanxiang Group Corp. (major automotive parts manufacturer). Now it has officially received the approval of the Chinese National Development and Reform Commission, and is now cleared to make a bid, according to autonews.com.

Also, in order for the bid to go through, the blessing of the US government is also required, since A123 has already received a $249-million grant. Aside from the Chinese company, Johnson Controls have also announced their interest in buying out the battery maker, and have reportedly offered $125-million to close the deal.

However, they will have to wait until December 6, when the auction for A123 is set to officially take place.

UPDATE: Auction officially starts.


 
 
 
 
 

Would you like AUTOEVOLUTION to send you notifications?

You will only receive our top stories