Impact of end-of-life tidal wave on power cells

Following the Spring Festival this year, the Ministry of Industry and Information Technology, jointly with six ministries and commissions, issued the Interim Measures for the Recovery and Utilization Management of New Energy Vehicle Power Battery and the Notice on Organizing the Pilot Work for the Recovery and Utilization of New Energy Vehicle Power Battery, proposing that the pilot work on power battery recovery will be carried out. It also focuses on cultivating a number of power battery recycling and utilization standards. The statement that "2018 is the first year of power battery scrapping" is being recognized by more research institutions and companies.

The daily economic news reporter recently interviewed a number of power battery recycling industry industry insiders, was told that "after the spring festival, there are more than two reception agency research", almost all respondents have "the industry is obviously warming up" feeling.

Promotion of corporate preference

According to the forecast of the China Automotive Technology Research Center, by 2020, the total scrap volume of electric vehicle power batteries in China will reach 120,000 to 170,000 tons; The statistics of high-grade industrial production and research show that in 2017, the size of China's lithium battery market was 135 billion yuan, and the output value of power batteries was 72.5 billion yuan, accounting for 54 % of the total, which exceeded digital lithium batteries.

But Guanluzhongqiang, a recycling company in Chongqing, feels more than just a paper-based digital boom. "Since the second half of last year, the feeling industry has gradually warmed up, especially after the Spring Festival. It can be said that I have been in the hottest stage in three years. "

In capital markets, mergers and acquisitions tend to be a direct reflection of whether an industry is booming or not. On March 20th, camel SHARES announced that they would acquire 100 % equity of Hubei Jinyang Metallurgical Co., Ltd., a battery recycling company in Tongcheng, and the transaction price is expected to be between 480 million and 560 million yuan. The latter is a battery recycling company that has the ability to handle 300,000 tons of waste lead-acid batteries annually, 250,000 tons of lead and lead alloys annually, and 100,000 tons of aluminum alloys.

鈥淭he battery-recycling companies that are qualified, productive and have a say in regional markets are really popular, and we have an intermediary who has approached us this year, and there is more than one. "Luzhongqiang said.

The industry's heat is also reflected in the increasing number of participants in various industry conferences. According to Luzhongqiang, he goes to seminars on the lithium battery industry every year. "Last year, there were a lot of people coming in, and some investment bankers sent out business cards," he said.

In addition to battery recycling companies, many upstream new energy car manufacturers also have corresponding plans.

On January 4 this year, the China Tower and 16 new energy companies such as Chongqing Chang 'an, BYD, Wotema, and Guoxuan Gaoke signed a strategic partnership agreement for the recovery and utilization of new energy automotive power batteries; As early as 2015, BYD cooperated with Green America to build a power battery recycling system.

"We actually started thinking about this last year and are now communicating with downstream companies about plans for battery recycling. On the one hand, it is in response to the requirements of the country. On the other hand, it is also taking into account the long-term development of the company. However, it is not convenient to talk about the specific situation at this time. When the appropriate opportunity will be disclosed on its own initiative. A new energy car company in Chongqing told reporters.

Companies in the industry are up

According to the statistics of the "Daily Economic News" reporter, if the point of demarcation is June 2, 2017, the share price of the third-party recycling company Grimm has risen by more than 60 % in the past year; Lithium ganfeng, which is a subsidiary of the battery recycling business, also has a brilliant performance in the capital market. It was measured at 24.35 yuan per share in the low Valley in January 2017. As of the close of March 25, the increase has exceeded 180 %. The peak period rose even more than 320 %.

In fact, in the concept of power battery recycling stocks, greenmail, ganfeng lithium industry is not alone.

For example, Tianqi shares(002009, SZ), a subsidiary of Jintai Technology, which has the main power battery echelon utilization, physical crushing subsidiary, and Jintai Pavilion, a subsidiary of the main power battery element recovery, has experienced an increase in stock prices of more than half a year in the past. 25 %; Shanshan shares(600884, SH), which have a layout in the power battery ladder utilization and recycling business, have also risen by more than 20 % since June last year. BYD(002594, SZ) has also gained nearly 20 % in the past six months.

In addition to the rise in share prices, the company's performance, which focuses on power battery recycling, is also quite impressive.

According to the Green America 2017 Performance Express, the total operating income in 2017 was 10.523 billion yuan, an increase of 34.29 % year-on-year; The net profit was 603 million yuan, a year-on-year increase of 128.56 %. The company said the large growth in the period was mainly due to the increase in sales of battery materials and cobalt nickel tungsten plates.

The four battery recycling companies listed on the new three-board, the performance of the 2017 semi-annual report also rose without exception. For example, Fangyuan Environmental Protection(839247, OC) reported a year-on-year increase in revenue and net profit of 61.22 % and 113.48 % respectively; The revenue and net profit of Sean Technology(832908, OC) increased by 127.06 % and 766.46 % respectively over the reporting period; Jinyuan New Materials(871370, OC) increased by 109.42 % and 835.34 % respectively; Songhe shares(835995, OC) increased 31.85 % and 114.95 % respectively.

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