The lithium-ion battery firm Electrovaya has signed a Multiyear Service Agreement with an unnamed Fortune 1000 OEM for the supply of lithium-ion batteries, battery modules, and related management systems, according to a new press release.
The new Multiyear Service Agreement (MSM) is expected to, over the next 3 years, generate revenues of up to $80 million. Agreement revenues will begin Quarter 2 CY2016, will grow through the rest of CY2016, and will accelerate further in 2017, according to the press release.
“We are extremely pleased to receive this multi-year production contract in this fast growing sector from one (of) the world’s leading OEMs,” stated Dr Rajshekar Das Gupta, Vice President of Business Development. “Electrovaya received this contract after an intense qualification exercise, against Global majors.”
The press release provides more: “The first Purchase Order from this MSA has been received. This Fortune 1000 Company is our first major customer for the LITACORE1000 module, announced recently. The LITACORE1000 module significantly increases the market size for Electrovaya’s product offerings as all major OEMs can now use the Electrovaya module as a building block for their specific Lithium Ion battery application. The LITACORE1000 modules, uses the LITACELL40, which delivers industry leading cycle life and safety.”
While the specific Fortune 1000 company in question hasn’t been publicly revealed, one would presume that the new contract will serve to make others in the industry take note and consider Electrovaya’s new offerings as well.
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