South Korean equipment maker TSI, which plans to be listed on KOSDAQ, is planning to take part in a Vietnamese battery project, people familiar with the matter told TheElec on Wednesday.
It has formed a consortium with compatriot equipment vendor PNT, to increase the chance of winning the order from Vingroup, Vietnam’s largest conglomerate, which is planning to build a battery plant in the Southeast Asian country.
TSI will handle the mixing equipment __ used to make a slurry out of batter materials during production __ while PNT will oversee the plating equipment used to coat the anode and cathode on the slurry.
TSI posted 69 billion won in sales last year. The company’s bid to expand to Vietnam is likely to reduce its reliance on clients Samsung SDI and LG Chem, which accounted 76.4% for its sales. TSI recently clinched French firm Saft, a subsidiary of Total, as a client as part of that plan.
Diversifying its revenue sources will also boost its credentials ahead of listing on KOSDAQ.
However, its lawsuit with Jeil Machine, another supplier of Samsung SDI, will be a sticking point. TSI and Jeil are embroiled in a lawsuit over alleged technology leaks. Jeil has won an injunction against TSI, which has caused Samsung SDI to decide internally to remove TSI from its suppliers’ list.
Though the lawsuit is yet to be over, TSI CEO In-Sik Pyo has said he will use his personal funds to save the company if it were to lose. Pyo also turned in a sworn statement to the Korea Exchange, promising that the lawsuit won’t affect the company.
TSI doesn’t have SK Innovation as a client however. SK Innovation uses mixing equipment from Yoonsung F&C instead.
Other South Korean equipment makers such as Yoonsung and A-Pro as well as logistics firm SFA are also all attempting to win an order in Vingroup’s battery project.
TSI will commence a demand forecast for institutional investors from July 6 to July 7 for its IPO. It aims to be listed by the end of July. TSI plans to offer 1.85 million public stocks for a price between 7,500 won to 9,500 won, aiming for a fund of 13.9 billion won to 17.5 billion won.