CCSC Technology International Holdings Limited Enters into International Purchase Agreement with SHI / LIGHTCARE-SOLUTIONS ApS
CCSC Technology International Holdings, a Hong Kong-based company listed on Nasdaq under the symbol CCTG, has entered into an international purchase agreement with SHI / LIGHTCARE-SOLUTIONS ApS, a Danish healthcare lighting design and supply company. Under this agreement, CCSC will manufacture and supply healthcare lighting products based on SHI's designs to customers in the Asia Pacific region. The agreement projects an annual purchasing amount starting at €0.50 million (approximately US$0.54 million) in 2025, increasing to €3.50 million (approximately US$3.76 million) by 2030. CEO Kung Lok Chiu highlighted that this partnership aligns with CCSC's strategic goal of diversifying its product portfolio and expanding into the healthcare sector, expecting significant growth for both companies.
- Agreement with SHI / LIGHTCARE-SOLUTIONS ApS to manufacture and supply healthcare lighting products in Asia Pacific.
- Projected annual purchasing amount starting at €0.50 million (US$0.54 million) in 2025, increasing to €3.50 million (US$3.76 million) by 2030.
- Strategic expansion into the healthcare sector, diversifying product portfolio.
- None.
The agreement between CCSC Technology International Holdings Limited and SHI / LIGHTCARE-SOLUTIONS ApS is a notable development for CCSC's financial outlook. By entering the healthcare lighting market, CCSC diversifies its product portfolio, potentially mitigating dependency on traditional interconnect products. The estimated revenue from the deal, starting at
Short-term impact: Minimal immediate financial gains as the estimated purchasing amount starts modestly. However, the formalization of the agreement signals potential future revenue streams.
Long-term impact: If the partnership progresses as planned, the additional revenue from healthcare lighting products could lead to a stronger financial position and shareholder value.
CCSC's entry into the healthcare lighting sector through this agreement with SHI is strategically sound. The healthcare lighting market is growing due to increasing demand for better and energy-efficient lighting solutions in hospitals and clinics. This partnership can place CCSC in a favorable position to capture this market, especially in the Asia Pacific region where healthcare infrastructure investments are on the rise.
Market opportunity: The Asia Pacific healthcare market is experiencing significant growth, driven by aging populations and increased healthcare spending. CCSC's ability to leverage SHI's designs and expertise could provide them an edge over competitors.
Competitive advantage: Collaborating with a specialized firm like SHI allows CCSC to offer advanced products without the need for extensive in-house development, speeding up market entry and adoption.
Hong Kong, June 20, 2024 (GLOBE NEWSWIRE) -- CCSC Technology International Holdings Limited (the “Company” or “CCSC”) (Nasdaq: CCTG), a Hong Kong-based company that engages in the sale, design and manufacturing of interconnect products, including connectors, cables and wire harnesses, today announced that it has entered into an international purchase agreement (the “Agreement”) with SHI / LIGHTCARE-SOLUTIONS ApS (“SHI”), a Danish company that primarily engages in the design and supply of healthcare lighting products.
Pursuant to the Agreement, CCSC will manufacture and supply healthcare lighting products based on the designs provided by SHI to customers in the Asia Pacific region. Under this Agreement, the parties estimate that the annual purchasing amount will start at
Mr. Kung Lok Chiu, Chief Executive Officer and Director of the Company, commented, “We are thrilled to partner with SHI to expand our healthcare lighting business in the Asia Pacific market. This partnership aligns with our strategic goal of diversifying our product portfolio and expanding our presence in the healthcare sector. Through our collaboration with SHI, we are poised to deliver innovative and effective lighting solutions that meet the needs of customers in the healthcare industry. We believe this collaboration will drive growth for both companies in the foreseeable future.”
About CCSC Technology International Holdings Limited
CCSC Technology International Holdings Limited, is a Hong Kong-based company that engages in the sale, design and manufacturing of interconnect products. The Company specializes in customized interconnect products, including connectors, cables and wire harnesses that are used for a range of applications in a diversified set of industries, including industrial, automotive, robotics, medical equipment, computer, network and telecommunication, and consumer products. The Company produces both OEM (“original equipment manufacturer”) and ODM (“original design manufacture”) interconnect products for manufacturing companies that produce end products, as well as electronic manufacturing services (“EMS”) companies that procure and assemble products on behalf of such manufacturing companies. The Company has a diversified global customer base located in more than 25 countries throughout Asia, Europe and the Americas. For more information, please visit the Company’s website: http://ir.ccsc-interconnect.com.
Forward-Looking Statements
Certain statements in this announcement are forward-looking statements, including, but not limited to, the Company's proposed Offering. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company’s current expectations and projections about future events that may affect its financial condition, results of operations, business strategy and financial needs. Investors can find many (but not all) of these statements by the use of words such as “may,” “will,” “could,” “expect,” “anticipate,” “aim,” “estimate,” “intend,” “plan,” “believe,” “is/are likely to,” “propose,” “potential,” “continue”, or other similar expressions in this press release. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company’s registration statement and other filings with the U.S. Securities and Exchange Commission.
For more information, please contact:
CCSC Technology International Holdings Limited
Investor Relations Department
Email: ir@ccsc-interconnect.com
Ascent Investor Relations LLC
Tina Xiao
Phone: +1-646-932-7242
Email: investors@ascent-ir.com
FAQ
What is the significance of CCSC Technology's agreement with SHI / LIGHTCARE-SOLUTIONS?
When will the purchasing amount under CCSC's agreement with SHI start to grow?
How does the partnership with SHI align with CCSC Technology's strategic goals?
What is CCSC Technology's stock ticker?
What market will CCSC Technology target with SHI's healthcare lighting products?
