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The lithium battery business, which had previously spent a lot of energy, was gradually abandoned by Foshan Lighting.
Recently, Foshan Lighting announced that the company has transferred the entire shareholding of Qinghai Foshan Lithium Battery Positive Materials Co., Ltd. (hereinafter referred to as Qinghai Fozhao Lithium). This is another practical action of the company to abandon lithium battery after Foshan Lighting Subsidiary Guangdong Fo Zhao Guo Xuan Power Battery Co., Ltd. (hereinafter referred to as Fo Zhao Guo Xuan) was liquidated and cancelled in mid-June this year.
In an interview with reporters, Foshan Lighting Director Lin Yuhui said that it is necessary to return to the lighting-related main business and accelerate the development of LED business while doing traditional lighting products.
Gradually abandoning the lithium battery business Foshan Lighting announced yesterday that it will transfer all the shares of Qinghai Fozhao Lithium Co., Ltd. held by the company to Wuxi Tuohai Investment Co., Ltd.
According to the data, Qinghai Fozhao Lithium Battery was established in October 2010, and the legal representative is Zhong Xincai, the former chairman of Foshan Lighting. According to the announcement, as of the end of June 2013, the company's operating income was 0, and the net profit loss exceeded 8 million yuan. The actual investment of Foshan Lighting for the company was 25.5 million yuan, and the transfer price was 100.17 million yuan.
In June of this year, Foshan Lighting cancelled the Fo Zhao Guo Xuan Company, which had no actual business and had a loss of more than 10 million yuan.
As a traditional lighting company, Foshan Lighting's transformation of lithium battery new energy business was promoted by the former chairman of the company, Zhong Xincai. Zhong Xincai said in 2010 that his work will focus on the new energy business of Foshan Lighting's new strategic direction, and has made up his mind that the new energy business will not be unsuccessful.
However, from the short-term effect of the transition, Foshan Lighting did not go well. Several of its lithium-ion business companies were not operating normally, or they had been losing money. In May of this year, Zhong Xincai unloaded the position of chairman of Foshan Lighting. The outside world speculated that the lithium battery business lost its promoters at the company level.
Lin Yuhui told reporters that for projects that did not have much economic benefit and had a bad market prospect, it would be better to adjust the treatment earlier.
Wu Yulin, president of Foshan Lighting Association, told reporters that Foshan Lighting will definitely give up lithium batteries, and their re-established ideas are still focused on lighting.
Going to LED is facing a technical bottleneck. Lin Yuhui said that the company should be dedicated to the lighting-related main business. He particularly emphasized that the company should speed up the development of LED business, not only LED light source products, but also LED lighting and LED engineering projects.
However, Foshan Lighting's transformation of LED is still facing no small challenge.
Puritan said in an interview with reporters that lighting and batteries are two completely different industries. Foshan Lighting did not have enough precipitation and accumulation in the field of new energy batteries.
Due to the lack of technology in the middle and upper reaches, Foshan Lighting's LED products can only be concentrated in downstream applications.
Lin Yuhui said that Osram is the company's major shareholder, and they still intend to seek some patents and technology from Osram.