Boliwei China reported revenue of 1.021 billion and plans to invest 3 billion to expand the production of lithium batteries and energy storage batteries in Dongguan.

On the evening of August 22nd, Boliwei (688345), which just listed on Science and Technology Innovation Board in June this year, disclosed its semi-annual report that the company achieved operating income of 1.021 billion yuan in the first half of the year, an increase of 89.34% over the same period last year, and net profit of 85.478 million yuan, an increase of 64.61% over the same period last year.

Bo Liwei said that the growth in the company's performance in the first half of the year was mainly due to strong demand in the downstream market, the company actively opened up the market, and production and sales volume in both domestic and foreign markets increased greatly compared with the same period last year.

The semi-annual report shows that Bo Liwei has strong product research and development capabilities, mature technology system and independent intellectual property rights in the field of lithium-ion battery manufacturing, and has the ability to provide customers with a full range of lithium-ion battery intelligent manufacturing services from project evaluation, scheme design, battery matching, BMS research and development to SMT, battery assembly and production, product inspection, after-sales service, etc. By the end of June, the company and its subsidiaries owned a total of 267 patents, including 31 invention patents and 40 software copyrights. At the same time, through practice and exploration, the company has mastered four core technologies, such as intelligent management of battery pack, design of key structural components of battery pack, preparation of high-performance lithium energy storage devices, and independent design of lithium battery manufacturing equipment and tooling. The company has maintained a strong competitiveness.

On the same day, Bo Liwei announced that in order to protect the company's future development land, continue to meet the needs of customers in the field of lithium battery and energy storage battery, constantly improve the capacity layout of lithium battery and energy storage battery products, and further expand the production capacity of lithium battery and energy storage battery, the company plans to sign an investment agreement with the people's Government of Wangniudun Town, Dongguan City, with a total investment of about 3 billion yuan.

The project is to be located in Lingang Industrial Park, Wangniudun Town, Dongguan City, with a land area of about 120mu and an annual output value of not less than 20 million yuan per mu (annual output value of about 2.4 billion yuan).

Prior to this, Boliwei also issued an announcement that it intends to use super-raised funds and self-owned funds to increase capital to wholly-owned subsidiaries to implement new projects. the company plans to use some of the super-raised funds of 139 million yuan and its own funds of 6 million yuan (a total of 145 million yuan) to increase capital to Dongguan Kaide, a wholly-owned subsidiary, to implement the construction project of power lithium-ion battery production line. As the total investment amount of the project is 160 million yuan, the rest of the funds required for the project will be made up by the subsidiary Dongguan Cade through its own funds.

Battery net noted that the total amount of funds raised by Boliwei's IPO in June was 648 million yuan, and after deducting the issuance expenses, the actual net raised funds was 580 million yuan. The net fund raised by the company is 140 million yuan more than the original plan of 440 million yuan. According to the prospectus disclosed by Boliwei on June 7, in terms of raising funds, 316 million yuan will be used for light vehicle lithium-ion battery construction projects, 51.5081 million yuan for R & D center construction projects, 31.9424 million yuan for information management system construction projects, and 40 million yuan for supplementary liquidity.

Bo Liwei said that this capital increase will help to continue to promote project construction, expand production capacity, further improve the utilization rate of self-produced batteries, reduce the cost of lithium batteries for two-wheelers, improve the competitiveness of domestic lithium batteries for two-wheelers, and achieve sustained growth in performance. improve the company's market position.

Bo Liwei also analyzed that at present, the power sources of electric two-wheelers on the market are lead-acid batteries and lithium batteries, and the market permeability of lithium batteries is increasing year by year. The lightweight and long-range electric bicycles required by the new GB standard accelerate the lithium electrification of electric bicycles and accelerate the elimination of non-standard cars, bringing about the recovery and growth of the electric two-wheeler market; real-time logistics and shared motorcycles, opening up the demand space for electric two-wheelers driven by Hello, Meituan and Didi, as well as the booming development of the express delivery and takeout industries, the new demand for electric two-wheelers has promoted the continuous expansion of the lithium electric two-wheeler market.

According to the "White Paper on the Development of China Electric two-wheeled vehicle Industry (2021)" jointly released by EVTank, Ivy Economic Research Institute and China Battery Industry Research Institute, the total production of electric two-wheeled vehicles in China was 48.34 million in 2020, an increase of about 27.2% over the same period last year, and the cumulative social ownership has reached 340 million. In 2020, shipments of lithium-ion batteries for electric two-wheeled vehicles in China reached 10.7 GWH, an increase of 91.1% over the same period last year. It is estimated that by 2025, the demand for lithium-ion batteries for electric two-wheeled vehicles will reach 45.9Gwh.

At present, the technical reserve of Boliwei lithium battery industry chain is complete, and the product system is sound. In the field of lithium two-wheeled vehicles, the company's products have been able to achieve partial domestic import substitution, leading to the formation of a domestic two-wheeled lithium battery supply chain. However, the company's current production capacity can no longer meet the growing order demand of downstream customers, and there is an urgent need for new production lines to expand production capacity in order to achieve a balance between supply and demand.

On August 20, Funeng Technology (688567) and Boliwei signed a strategic cooperation agreement, under which the two sides will cooperate in the R & D and supply of electric motorcycles and energy storage batteries to jointly develop soft-package power batteries with high energy density, high performance and high safety, and launch highly competitive products in the industry. Strive to purchase power batteries with a total capacity of more than 3GWH by the end of 2025, and jointly promote the high-quality sustainable development of electric motorcycles and energy storage batteries.

According to the agreement, Boliwei gives priority to installing power batteries of Fuergy technology on the full range of electric motorcycle PACK and derivative projects, and on the premise that the product solution meets the requirements of Bliwei, Boliwei guarantees the strategic cooperation status of Funeng Technology in the battery supplier system.