SPI’s Phoenix Motorcars Secures Long-Term Supply Agreement with Leading Global Battery Manufacturer

Rhea-AI Summary

SPI Energy Co., Ltd. (NASDAQ:SPI) announced a long-term supply agreement through its Phoenix Motorcars subsidiary with Coulomb Solutions, Inc. for lithium iron phosphate (LFP) battery systems from Contemporary Amperex Technology Co., Limited (CATL). This two-year deal aims to address the battery supply bottleneck in the electric vehicle (EV) industry, enhancing SPI's ability to meet rising demand for commercial EVs in the U.S. The delivery of the LFP battery systems is set to begin in Q1 2022, supporting SPI's growth strategy in the expanding EV market.

Positive

• Long-term supply agreement with Coulomb Solutions for LFP batteries secures battery availability through 2023.
• Partnership with CATL, a leader in lithium-ion battery technology, positions SPI favorably in the growing EV market.
• Global EV battery market projected to grow significantly, enhancing potential revenue opportunities for SPI.

Negative

• None.

SANTA CLARA, CA / ACCESSWIRE / December 9, 2021 / SPI Energy Co., Ltd. ("SPI Energy" or the "Company") (NASDAQ:SPI), a global renewable energy company and provider of solar storage and electric vehicle (EV) solutions for business, residential, government, logistics and utility customers, today announced that its Phoenix Motorcars subsidiary signed a long-term supply agreement with Coulomb Solutions, Inc. ("CSI"), the North American distributor of Contemporary Amperex Technology Co., Limited ("CATL") Commercial Vehicle Battery Systems, for supply of lithium iron phosphate (LFP) battery systems. CATL is a global leader in lithium-ion battery development and manufacturing. Delivery of the LFP battery systems will begin in the first quarter of 2022.

"Battery supply remains a bottleneck across the EV industry," commented Denton Xiaofeng Peng, Chairman & CEO of SPI Energy. "This two-year agreement for CATL commercial battery systems from CSI will enable us to meet the growing demand for our commercial EVs in the US market. Having a regular and reliable supply of battery deliveries secured through 2023 places us in a great position to accelerate growth."

The global EV battery market is projected to grow at a CAGR of 25.3% from $27.3 billion in 2021 to $67.2 billion by 2025, according to MarketsandMarkets, a B2B researcher.

About SPI Energy

SPI Energy Co., Ltd. (NASDAQ:SPI) is a global renewable energy company and provider of solar storage and electric vehicle (EV) solutions that was founded in 2006 in Roseville, California and is headquartered in Santa Clara, California.

The company has three core divisions: SolarJuice residential solar, the commercial & utility solar division comprised of SPI Solar and Orange Power, and the EdisonFuture/Phoenix Motorcars EV division. SolarJuice is the leader in renewable energy system solutions for residential and small commercial markets and has extensive operations in the Asia Pacific and North American markets. The commercial & utility solar division provides a full spectrum of EPC services to third party project developers, and develops, owns and operates solar projects that sell electricity to the grid in multiple regions, including the U.S., U.K., and Europe. Phoenix Motorcars is a leader in medium-duty commercial electric vehicles, and is developing EV charger solutions, electric pickup trucks, electric forklifts, and other EV products.

SPI maintains global operations in North America, Australia, Asia and Europe and is also targeting strategic investment opportunities in fast growing green industries such as battery storage, charging stations, and other EVs which leverage the Company's technological expertise and substantial solar cash flow.

For more information on SPI Energy and its subsidiaries, the Company recommends that stockholders, investors and any other interested parties read the Company's public filings and press releases available under the Investor Relations section at www.SPIgroups.com or www.sec.gov.

Forward-Looking Statements

This press release contains forward-looking statements, as that term is defined in the Private Litigation Reform Act of 1995, that involve significant risks and uncertainties. Forward-looking statements can be identified through the use of words such as may," "might," "will," "intend," "should," "could," "can," "would," "continue," "expect," "believe," "anticipate," "estimate," "predict," "outlook," "potential," "plan," "seek," and similar expressions and variations or the negatives of these terms or other comparable terminology. Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect the Company's current expectations and speak only as of the date of this release. Actual results may differ materially from the Company's current expectations depending upon a number of factors. These factors include, the coronavirus (COVID-19) and the effects of the outbreak and actions taken in connection therewith, adverse changes in general economic and market conditions, competitive factors including but not limited to pricing pressures and new product introductions, uncertainty of customer acceptance of new product offerings and market changes, risks associated with managing the growth of the business, and those other risks and uncertainties that are described in the "Risk Factors" section of the Company's annual report filed on Form 20-F filed with the Securities and Exchange Commission. Except as required by law, the Company does not undertake any responsibility to revise or update any forward-looking statements.

SPI Energy Co., Ltd. Contact:
IR Department
ir@spigroups.com
Randy Conone, SVP of Investor Relations & Finance
randy.conone@spigroups.com

Dave Gentry
RedChip Companies, Inc.
Phone:(407) 491-4498
dave@redchip.com

SOURCE: SPI Energy Co., Ltd.

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FAQ

What recent agreement did SPI Energy announce regarding EV batteries?

SPI Energy announced a long-term supply agreement with Coulomb Solutions for lithium iron phosphate (LFP) batteries from CATL.

When will the delivery of the LFP battery systems begin for SPI Energy?

The delivery of the LFP battery systems is expected to begin in the first quarter of 2022.

How does the agreement with CATL benefit SPI Energy?

The agreement provides SPI Energy with a reliable battery supply, allowing them to meet increasing demand for commercial EVs.

What is the expected growth of the global EV battery market?

The global EV battery market is projected to grow from $27.3 billion in 2021 to $67.2 billion by 2025.

What impact does the new supply agreement have on SPI Energy's growth strategy?

The supply agreement positions SPI Energy to accelerate growth in the commercial EV sector by ensuring battery availability.