Key Developments For Wonder Auto Technology, Inc.
Wonder Auto Technology, Inc. (WATG.O) (Consolidated Issue listed on NASDAQ Global Market)
Wonder Auto Technology, Inc. Announces Closing of Follow-on Public Offering
Wonder Auto Technology, Inc. announced the closing of a follow-on offering of 6.0 million shares of common stock at a public offering price of $10.75 per share. In connection with this offering, the Company has granted the underwriters a 30-day option to purchase up to an additional 900,000 shares of common stock. The Company received aggregate net proceeds of approximately USD59.2 million, after deducting underwriting discounts and commissions and estimated offering expenses payable by the Company, not including the overallotment option. The Company plans to use the net proceeds of the offering for general corporate purposes, including expanding capacity at its existing facilities and investing in new businesses, products and technologies, both through acquisitions and capital programs, funding its ongoing operating and working capital expenses and repaying indebtedness. Piper Jaffray & Co., Jefferies & Company and Oppenheimer & Co. Inc. acted as joint bookrunning managers of the offering, and Roth Capital Partners acted as a co-manager.
Wonder Auto Technology, Inc.'s Unit Signs Joint Venture With South Korea's Teawon Dianzhuang
Wonder Auto Technology, Inc. announced that its subsidiary Jinzhou Halla Electrical Co., Ltd. (Jinzhou Halla) has signed a joint venture agreement with Korean Teawon Dianzhuang Corporation (Teawon Dianzhuang) under which the parties will establish a joint venture named Jinzhou Wonder Teawon Dianzhuang Co., Ltd. (Wonder Teawon) around December 1, 2009 at the West Sea Development Zone Auto Parts Industrial Park of Jinzhou City, Liaoning Province. Wonder Teawon is expected to start operation in June 2010 and its main products will include solenoid switches for automotive starters, alternator collector rings, starter commutators and other automobile parts. Jinzhou Halla will make a cash contribution of USD2 million in exchange for a 75% equity interest in Wonder Teawon and Teawon Dianzhuang will contribute technology in exchange for a 25% equity interest in Wonder Teawon.
Wonder Auto Technology, Inc. Issues FY 2009 Guidance
Wonder Auto Technology, Inc. announced that for fiscal 2009, it expects approximately $208 million sales revenue and $23 million net income attributable to common stockholders. According to Reuters Estimates, analysts were expecting the Company to report revenues of $204 million and net profit of $23 million for the same period.
Wonder Auto Technology, Inc. Enters into Framework Agreement To Deliver Electric Motor for Alternative Energy Vehicles
Wonder Auto Technology, Inc. announced that its subsidiaries Jinzhou Wonder Motor Co., Ltd. (Wonder Motor) and Jinzhou Halla Electrical Equipment Co., Ltd. (Jinzhou Halla) have entered into framework agreements with Jinzhou Wonder Alternative Energy Vehicle Technology Co., Ltd., (Jinzhou AEV), for the supply of electric motors to Jinzhou AEV for use in its electric and alternative energy vehicles. The Company expects the aggregate value of the agreements to be approximately USD6.13 million. Under the agreements, Wonder Motor and Jinzhou Halla will supply 6 models of electric motor products (250w, 350w, 600w, 800w, 7kw and 20kw) to Jinzhou AEV. Initial delivery is scheduled to begin in November 2009, with deliveries to continue during 2010. The Company expects to deliver approximately 1,450 units in 2009 and approximately 21,500 in 2010, representing aggregate sales revenues approximately USD0.44 million and USD5.69 million.
Wonder Auto Technology, Inc. Announces Joint Development Agreement With Shenzhen BYD
Wonder Auto Technology, Inc. announced that one of its subsidiaries, Jinzhou Halla Electrical Equipment Co., Ltd (Jinzhou Halla), has entered into a joint development agreement with Shenzhen BYD Auto Company Limited (Shenzhen BYD). According to the agreement, Jinzhou Halla will design and develop alternator prototypes for Shenzhen BYD's sedan products (Model: BYD F3/F3R) with engine size between 1.3L and 1.5L, and sample deliveries will commence in November 2009, for testing.
