The company said that an agreement on the terms of the deal for A123 Energy Solutions has been finalized and a new company, named ‘NEC Energy Solutions’, is slated to begin operation in June 2014.
NEC said it was aiming to strengthen its battery storage systems business through its purchase of the unit, A123 Energy Solutions.
A123’s existing cell manufacturing and sales, R&D, and automotive operations will remain the core focus of A123 Systems, according to NEC.
For address the developing Chinese market, NEC is slated to set up a joint venture company with Wanxiang and its affiliates.
NEC senior vice president Takemitsu Kunio said, "With these combined strengths, NEC Energy Solutions will be able to help satisfy the growing demand for energy storage worldwide, whether driven by increased penetration of renewable energy from wind and solar, more effective grid stabilization services like frequency regulation and frequency response, or the desire for more efficient reinforcement of existing transmission and distribution grids."
"Improving energy reliability, sustainability, and security, we will provide turn-key energy storage solutions, ranging from utility-side storage at the megawatt scale, down to behind-the-meter storage at the kilowatt scale for residential, commercial, or industrial sites," Kunio added.
