Chinese company wins bid for battery maker A123
Mon, 10 Dec 2012 12:15:00 GMT —
NEW YORK (AP) -- Bankrupt battery maker A123 Systems Inc. says it will sell most of its assets to the U.S. arm of Chinese auto parts conglomerate Wanxiang Group Corp. for $256.6 million.
Chicago-based Wanxiang America Corp. won an auction conducted under the supervision of the U.S. Bankruptcy Court. The deal includes facilities in Michigan, Massachusetts and Missouri, among other assets.
A123's government business will be sold separately, for $2.25 million, to Navitas Systems of Woodridge, Illinois outside Chicago.
A hearing seeking the necessary court approval is scheduled for Tuesday.
Waltham, Massachusetts-based A123, which makes lithium ion batteries, was awarded a $249 million grant from the Department of Energy in August 2009 to help it build U.S. factories. About $130 million of that was delivered before the company fell victim to the lackluster electric car market.