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Can't wait to see something happen!
Lew said he believes there could be additional bidders for A123 before the issue is settled, and that it's difficult to predict who will win.
http://money.cnn.com/2012/10/19/news/companies/a123-bankruptcy/index.html?source=yahoo_quote
But a decision on who will get to buy the assets, and at what price, is still pending before the court, which is charged with getting the best deal possible for creditors.
Michael Lew, analyst with Needham Co., said the bidding war is proof that no matter what financial problems forced A123 into bankruptcy, the industry sees it as a valuable business going forward.
"Electric cars aren't a good value proposition right now. But over time the market will evolve," said Lew. "Johnson Controls' interest validates A123's business."
Lew said he believes there could be additional bidders for A123 before the issue is settled, and that it's difficult to predict who will win. He said while Wanxiang might have the more lucrative offer at the moment, the deal could be rejected if the bankruptcy court determines it won't win regulatory approval.
"Their offer is bigger, period. But there is a concern about all of the IP [intellectual property] going to China," he said.
Related: Smart's electric car might actually be...smart
Neither Johnson Controls nor A123 responded Friday to requests for comment on the bidding war, and Wanxiang could not be reached for comment.
Who will be the winner of the bidding war, anyone want to bet?
While critics point to the lack of production at local battery factories, JCI isn’t pulling out but instead is diving even more deeply into the business. The company announced this week it had reached an agreement with A123 to buy all its lithium-ion battery assets, including two Michigan factories, for $125 million. Then, according to wire service reports, the Chinese auto parts maker Wanxiang Group said it would go to bankruptcy court to try to top JCI’s bid. The news came the same week General Motors announced it would start production on a hybrid Cadillac, the Cadillac ELR, late next year.
Go, AONE!
Judge Kevin Carey, who welcomed competitive bidding for A123 (AONE:$0.075,0$0.02,0036.36%) , is scheduled to rule on the initial bidder on Oct. 30.
"It's nice that the debtor has become the popular girl at the dance with at least two bidders, maybe more," he said.
A123 (AONE:$0.075,0$0.02,0036.36%) also has attracted bidders for its non-automotive operations, which includes grid storage batteries.
Wanxiang must receive approval from the Committee on Foreign Investment in the United States and the government of China to acquire A123 (AONE:$0.075,0$0.02,0036.36%) . The Chinese company will submit its proposals next week, Guzina said.
Obama blocks Chinese wind farms in Oregon over security so they can pass A123 Wanxaing deal?
http://www.reuters.com/article/2012/09/28/us-usa-china-turbines-idUSBRE88R19220120928
(Reuters) - President Barack Obama blocked on Friday a privately owned Chinese company from building wind turbines close to a Navy military site in Oregon due to national security concerns, and the company said it would challenge the action in court.
Obama's decision comes as two other Chinese companies are vying for CFIUS approval.
The Treasury Department stressed that Obama's decision was not a precedent for other investments from China or any other country. Acting Commerce Secretary Rebecca Blank said the United States generally welcomed investment from China but not in every case.
"Particularly when you're talking about China, but there's other countries where this is true too, one has to be worried about national security concerns," Blank said in remarks at the Council on Foreign Relations earlier on Friday.
China's state-owned oil company CNOOC Ltd is trying to buy Canada's Nexen in a $15.1 billion deal and Chinese auto parts company Wanxiang Group Corp is about to takeover U.S. battery maker A123 Systems Inc. Both Chinese firms are waiting for the government panel's decision and CFIUS experts see the Ralls case as a one-off decision.
"There have been many Chinese investments in the U.S. that have gone through without trouble," said Benjamin Powell, a former general counsel to the director of national intelligence who is now a partner at Wilmer Hale.
Go, AONE!
Good luck to all! I'm out since "Wanxiang's interests can be protected, regardless of A123 bankruptcy or not bankruptcy.", according to some 9/5 Lu Guanqiu interview see below picture.
http://finance.jrj.com.cn/biz/2012/09/05085814348334.shtml
Wanxiang got the shares! But the other boards are saying some other auto buyer, ha, funny!
Chicago Tribune: A Chinese industrial conglomerate with Chicago-area ties has historically invested a lot like Warren Buffett. It looked for value in aging assets, in some cases providing financial lifelines to hard-hit auto suppliers, saving jobs and injecting life into the decaying Midwest.
But as Wanxiang Group Corp. expands into emerging clean-energy technologies, it faces new scrutiny that threatens to smudge its white-knight reputation.
http://www.chicagotribune.com/business/ct-biz-0819-a123-sidebar-20120819,0,6674162.story
In an e-mail, the Energy Department said it was “currently reviewing” a letter sent by two Republican senators, John Thune of South Dakota and Charles E. Grassley of Iowa, objecting to the investment. The e-mail contained remarks attributed to a “senior administration official” who said the battery maker “had not provided any communications regarding any impact to our grant or requests to change the use of grant money, and D.O.E. will continue to monitor the situation closely.”
Mr. Borgasano reiterated the Energy Department’s contention that the $120 million in federal funds could “only be used for building manufacturing facilities and creating the associated jobs here in the United States. It cannot and will not be used for anything else,” he said.
Wanxiang, he added, had “a successful track record of partnering with U.S. companies and helping them increase their market share.”
For more:
http://wheels.blogs.nytimes.com/2012/08/17/investment-from-china-places-a123-systems-on-the-defensive/
The New York Times: A123 also supplies much larger batteries to the electric grid for renewable energy storage and other uses. “Wanxiang has been investing in clean technology, and we think our grid business fits into that portfolio,” Mr. Borgasano added.
For more: http://wheels.blogs.nytimes.com/2012/08/17/investment-from-china-places-a123-systems-on-the-defensive/
A123 was in fact founded by a Chinese-American, Yet-Ming Chiang.
http://sciencecoalition.org/successstories/company.cfm?companyId=17
A123 Systems was born out of research by Yet-Ming Chiang at MIT and founded in 2001 by Chiang, Bart Riley, who became Chief Technical Officer, and Ric Fulop, Vice President of Business Development and Marketing. Many aspects of A123’s core technology were exclusively licensed from MIT through a royalty-based agreement. After a year off in 2002 to help get the company on its feet, Chiang has been back at MIT full-time teaching and continuing his research, and sits on A123’s board.
http://web.mit.edu/invent/iow/ychiang.html
GM or GE? I like GE better, but they can both bid, maybe just to make Wanxiang pay more or get less(60%)?
Are longs thinking of $1.50 in a year? Nasdaq.com posts $1.50 as AONE's 1 year target; $750 for Google.
For AONE:
Consensus Recommendation: buy
Detailed Analyst Recommendation: strong buy or buy.
See for yourself at http://www.nasdaq.com/symbol/aone/analyst-research
Sure the U.S. ends up approving this deal, it's not a secret.
If AONE has nothing better than the 3 China competitors, why Wanxiang is butting in? And Wanxiang is the biggest auto parts provider in China, do you know what does than mean to those 3?
Why Bob Lutz is wrong about A123 Systems' new Chinese investor
http://green.autoblog.com/2012/08/16/why-bob-lutz-is-wrong-about-a123-systems-new-chinese-investor/
A message to Bob Lutz, former General Motors vice chairman, and proponent of the Chevrolet Volt and Via Motors' plug-in electric vehicles. Regarding your guest column in Forbes lambasting the federal government for granting battery maker A123 Systems a Department of Energy grant and allowing a Chinese company to step in as an A123 investor/owner: Get over it!
While A123 Systems is in a desperate situation with financial losses related to the Fisker Karma – which keeps having problems – when it comes to federal financial support and making deals with Chinese investors, there are a few things you left out. For example: your own management role at General Motors when the federal government executed a large ownership stake investment and required GM to strip down the dealership network. Whether or not the feds should stay out of corporate bailouts or grant DOE grants and loans to greentech companies may be worthwhile to debate, but it is unavoidably part of the landscape these days, for better or worse.
Another irony is your criticism of A123 for cutting a deal with Chinese auto parts company Wanxiang since you say doing business with the Chinese government and corporations is bad for U.S. business and autonomy. You write: "If we can't get our act together soon, the country will 'go Chinese' company by company, institution by institution, industry after industry. There will be no need for a military conflict against an overwhelmingly superior force: the Chinese will simply buy the country, a little piece at a time."
The U.S. is no longer the sole dominant force in global economics and military prowess. I think this is just another aspect of seeing the global auto industry, and the global economy, as it really is. Chinese automaker Geely Group stepped in when Ford stepped out in 2010, and Ford and General Motors have partnerships with Chinese manufacturers selling products to the rapidly growing China auto market. There's also the part about global automakers setting up production facilities in China and selling their own products in the market.
Whether or not A123 Systems survives, the federal grant and Chinese investment do seem to be pretty logical in the context of what's been happening lately. There might even be a few positives to this situation, such as accessing a larger investment pool and market for green vehicles and technologies, as well as forging more peaceful relations with China.
News Source: Forbes
In recent weeks, both A123 Systems Inc. (AONE) and Ener1Inc (HEVVQ.PK), two of Balqon's biggest competitors as the foremost leaders in battery storage technology, have had setbacks and been forced into deals with savvy investors eager to enter into the energy storage market. Chinese auto supplier Wanxiang group has taken a controlling interest in A123, while Russian investor Boris Zingarevich emerged as a lifeline to Ener1Inc. Both investors obviously making a bet on the expanding market place for lithium batteries and both agree that the timing is now.
The slump in renewable energy shares is ending as bidders from China and South Korea signaled interest in German solar manufacturer Q-Cells SE (QCE) and A123 Systems Inc. (AONE), a U.S. maker of batteries for electric cars.
http://www.businessweek.com/news/2012-08-16/renewables-rout-ends-as-asian-bidders-seek-q-cells-a123-energy
Very good one and I have to copy and paste it here!
There are some things all of you are not considering.
Chinese intend to move into USA market and want dual-sited battery tech (AONE). China does not have to buy more than say 45% of AONE, to achieve their aims. The AONE battery tech is good but not secret. It hardly takes much effort to back-engineer the AONE batts. that are already in China. Sure the tech is patented, but Chinese have already talked that over with AONE and USA govt. ,before they delivered AONE batts. to China.
Its just a better form of Li-ion battery, not the end of all Li-ion battery tech. Li-ion tech will be steadily improved. Ask yourself . . . are Chinese tank battery much different from USA army tank batts? Nope . . . about the same capacity demand . . . China has already capturned USA tank batts. in Vietnam, Korea War, and gotten some from other USA involved conflicts.
There are no battery secrets . . . just patents that cover production and market specific sales areas application thereof and therein restrictions.
DOD and USA businesses will use the same basic off-line batteries, except the military,etc. will each demand certain defined standards of capcity and amp-rate drain use. Hardly any Chinsese workers will come to USA to work, except to be trainned and return to China. A number of Chinese management types and engineers will work in USA.
Ask yorself . . . and answer . . . if you were Chinese company and wanted into USA EV/Hybrid/battery markets domestically . . . why BK a going-concern company that already has present orders and revs and lots of future possibilities? It would be nuts to go for BK, when you already have exactly what you want (a presently major to be USA battery company functional).
China just did the current administration a BIG favor.
And, guess who, will get some of the contract $$s after
Jan 2013? The Republicans are p----d because they didn't get in on it under their party politics. Chinese tanks will use AONEs made-in-China and USA military will use AONEs made-in-USA. Other USA battery companies (with exception of XIDE which will get stop-start- and Optima ciruclar-cell Gel tech orders) . . . are the ones that should be howling.
Apparently, there is now no need for R/Spilt to achieve funding on AONE . . . and less than 175 million shares outstanding is nothing unusual or obscene in size. This is too sweet a deal to destroy, everyone gets something.
Please be dumb enough to force the stock price lower and it will be appreciated. Any new tech product can have production and use problems in its initial market stages. The vaunted Japanese autos are having FLOOR-MAT/GAS PEDAL fit problems! Chance mathematics is never humanly perfect. It has to be imperfect to include the operation of chance. You have to be able to fail to suceed!
By:
cloakedat
Male
Spokane, Wa...
http://messages.finance.yahoo.com/Stocks_%28A_to_Z%29/Stocks_A/threadview?m=te&bn=99429&tid=41413&mid=41413&tof=18&frt=2#41413
Hope A123 sign some sales contracts in China soon. Go, AOne!
When will short cover their shares? 27M?
Wanxiang is offering $450,000,000 for 80% FUTURE stake of A123, it'll be added investment but not buying 80% share in the open market. That sounds $0.77/s, but if AONE lives on, it's more than $4.00/s.
If the deal gets a okay, AONE jumps above $1.00, I guess; otherwise, going south waiting for another offer or the end.
Dan Borgasano of A123 says working closely on the final agreement.
A123 Systems says the deal is in the best interest of its shareholders, its employees, and its technology. Being majority-owned by a large Chinese conglomerate gives it better access to the Chinese market for electric vehicles (see "What Happened to A123?"). Money from the Department of Energy, half of which has been spent so far, can still be invested only in U.S.-based assets. "We're confident in Wanxiang's commitment to the U.S. We think they will continue to grow our operations here," says A123 Systems' marketing manager, Dan Borgasano. "We think it's a positive outcome."
People yelled SECURITY too when IBM PC division was sold to Lenovo.
Some MM is asking for $3.25, ha.
A123 Systems, Inc. - Common Stock
0.5375 -0.048-8.93%
Vol:
8,839,622
Bid: 0.54 Ask: 3.25 Size: 2 x 2
$3.25? next year.
I hope the A123 Wanxiang deal will be approved soon. Wanxiang is very good at "Making the government your partner too"; I bet A123 was good at it too, at least they had a honeymoon, right?
http://www4.gsb.columbia.edu/chazen/globalinsights/article/7228717/The+Messy+Path+to+Clean+Energy
Make the government your partner too. Wanxiang America has worked with numerous local governments as it built solar projects in the U.S. For example, it received more than $4 million in federal American Recovery and Reinvestment Act funds to build the Rockford (Illinois) Solar Project, the largest photovoltaic solar development in the Midwest.
http://www.bloomberg.com/news/2012-02-26/china-s-billionaire-lawmakers-make-u-s-peers-look-like-paupers.html
The third-richest person in the NPC(China’s National People’s Congress), auto-parts magnate Lu Guanqiu(the big boss of WanXiang), traveled with Vice President Xi Jinping to the U.S. during his official visit this month, attending a meeting with Vice President Joseph Biden and Treasury Secretary Timothy F. Geithner in Washington on Feb. 14.
http://www.wanxiang.com/
Very nice video, EASYMONEYBYE! Thanks! Looks Wanxiang is a good company. I hope we hear progress news of AONE deal soon. AONE will soar!
Don't regret it when AONE's solid above $1 1 hour after you sell yours, ha.
I think the long fall is over and if it's the turnoverpoint, why hurry out? I would not sell all if it rises too fast, will keep a ticket and watch it run.
Today's AONE report in news
Chinese company expected to invest $450 million in A123
http://www.hometownlife.com/article/20120812/NEWS10/208120430/Chinese-company-expected-invest-450-million-A123?odyssey=mod%7Cnewswell%7Ctext%7CLivonia%7Cs
Segments:
Wanxiang is China's largest automotive components manufacturer and one of China's largest non-government-owned companies. Wanxiang's proposed investment in A123 is intended to create the capital structure necessary for the company to continue growing its core businesses, and alignment with Wanxiang is also expected to substantially strengthen A123's access to the growing vehicle electrification and grid-scale energy storage markets in China.
“A substantial capital investment from Wanxiang would not only provide financial stability to A123 as we continue to grow, but it would also align us with a large, successful global brand in the automotive and cleantech industries. Wanxiang has a successful track record of operating in the U.S. with significant employment and commitment to good corporate citizenship, and we expect that a strategic agreement with Wanxiang would help enhance our competitive position in the global marketplace, especially in China.”
Wanxiang Group Corp. and its related companies have more than $13 billion in revenue and more than 45,000 employees across its global businesses in equipment and automotive parts manufacturing, clean energy, financial services, agricultural products, natural resources and real estate, among others. Through its subsidiaries, including Wanxiang America Corp., it has more than 3,000 U.S.-based employees.
The Livonia plant opened in September 2010, just over one year after A123 was awarded a $249 million grant from the U.S. Department of Energy (DOE) as part of the American Recovery and Reinvestment Act to help the company execute its strategy to ramp up U.S. manufacturing capabilities to meet increasing demand for its technologies.
In addition to the DOE grant, the company received $125 million in state incentives from Michigan as part of its 21st Century Jobs Fund and a 50-percent reduction in taxes to the city of Livonia for 12 years.
A123 has three Michigan facilities, including a plant in Romulus facility and an office in Ann Arbor.
AONE will go crazy if that's true! Any inside news?
That's not even news and AONE gained on that day. I found some news of today and I'll post it when I find it again. Go, AONE.
WLSI bottoms if the markets bottom, otherwise, we might see 0.0001! Hard to believe! The problem is "will they RS when it hits 0.0001?!"
Maybe I should just quit this s---.
Ha ha ha, funny to say and funny to hear! Buy a bit?
It sounds like a diaster! 0.0001 per day, we'll soon be sitting at 0.0001?
I have not visited their office yet, will try later. I moved most of the money to another loser, WLSI, ha.
I'm just thinking that a stock like it would have a wild run if there is no serious dilution.
Do you worry that the ongoing dilution would kill the potential run of WLSI? Are you in this stock? Long or short?
Is it time to buy again?
Let's stop attacking our rich boy Verges? What good does it do to us? All we do is to buy some at 0.0108 and sell it at $0.018 but not $1.08, right?
I thought dilution was not NEW news to WLSI after the 3.4 billion convertible shares announced in the 8K on 03/09/10.
Did JMJ put on some limitation for dilution as a part of its investment?
Are there other dilution actions going on?
Is there any restriction for WLSI on dilution?
If WLSI keep playing the dilution and RS game, we all lose!!!
As of March 15, 2010, the lowest trade for our common stock during the 20 trading days as reported on the Over-The-Counter Bulletin Board was $.0014 and, therefore, the conversion price for the JMJ Notes was $.00049. Based on this conversion price, the JMJ Notes in the aggregate amount of approximately $1,650,000, excluding interest, are convertible into 3.4 billion shares of our common stock.
http://msnmoney.brand.edgar-online.com/DisplayFilingInfo.aspx?TabIndex=2&FilingID=7133866&type=html&companyid=693174&ppu=%2fDefault.aspx%3fticker%3dWLSI
Ha, nothing is still nothing, hope someday it becomes something...