Miyoshi affiliate Core Power bags two electric car contracts

CATALIST-LISTED Miyoshi Limited announced that its affiliated company, automaker Core Power (Fujian) New Energy Automobile, has secured two contracts to manufacture electric cars for Jiangxi Changhe Automotive.

The contracts will see Core Power supply 50,000 all-electric car frames and a similar number of sets of lithium batteries, battery management systems and electric motors.

Miyoshi said the consideration for the contracts is not fixed, with both parties determining the pricing by reference to the prevailing prices of raw materials like steel and lithium batteries.

Earlier in April, Miyoshi announced that Core Power had joined forces with Jiangxi Changhe Automotive, a subsidiary of auto giant Beijing Automotive Group, to jointly develop a new five-door, four-seater, all-electric passenger vehicle.

The partnership encompasses development of the car's design, chassis, interior layout, platform, batteries, electric motor and electric control unit.

Miyoshi, which counts metal manufacturing capabilities among its many specialities, acquired a 15 per cent equity interest in Core Power back in Aug 24, 2016.

Miyoshi last traded on May 7, with its counter finishing at 6.8 Singapore cents, down 0.1 Singapore cent or 1.45 per cent.