A123 Systems fka AONEQ

[Tommy105]

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.

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Neither Johnson Controls nor A123 responded Friday to requests for comment on the bidding war, and Wanxiang could not be reached for comment.