To march into the renewable energy sector, and create new curve for business performance
SHENZHEN, China, Aug. 24, 2023 /PRNewswire/ -- TD Holdings, Inc. (Nasdaq: GLG) (the "Company"), a commodities trading service provider in China today announced that the Company's wholly-owned subsidiary Shenzhen Qianhai Baiyu Supply Chain Co., Ltd. ("Baiyu"), an integrated service provider specializing in commodity supply chain, has entered into a procurement agency agreement (the "Agreement") with Shenzhen Jintongyuan Energy Storage Technology Co., Ltd. ("Jintongyuan") for the strategic framework of procuring cobalt materials, the battery energy storage raw materials. The total procurement value is set at RMB1.2 billion (approximately US$165 million). This strategic move is expected to diversify the Company's service portfolio by expanding the range of raw material categories and increase the Company's presence in the renewable energy sector.
Pursuant to the Agreement, during the 12-month period, Jintongyuan will commission Baiyu to purchase cobalt materials with a monthly procurement quantity of RMB100 million (approximately US$14 million). Jintongyuan will pay Baiyu a 20% deposit within a day of Baiyu's acceptance of the commission. Baiyu will also receive agency service fee and fee for fund occupation from Jintongyuan.
Cobalt, a vital component of battery energy storage, plays an indispensable role in various application domains with its distinct characteristics and advantages. The future development of battery energy storage is intricately linked with the research and advancement of cobalt and its associated application technologies. Battery energy storage, renowned for its high energy density, extended lifespan, rapid charge and discharge capabilities, and environmental friendliness, has found wide-ranging applications in energy storage and utilization. Cobalt, in turn, emerges as a pivotal raw material within these batteries, holding a significant position in the cathode materials of lithium-ion batteries and cobalt oxide batteries. Cobalt's exceptional electrochemical and physical properties contribute to efficient charge storage and prolonged usage. Cobalt has the advantage of enhancing battery capacity, efficiency, performance, stability, cycle life, and charging speed.
Ms. Renmei Ouyang, the CEO of the Company, stated, "We are excited to formalize the Agreement with Jintongyuan, which underscores our reputation as a trusted supply chain service provider. We see this partnership not only as a result of our efforts to bolster revenue, but also as a significant milestone in our expansion into the renewable energy sector. Moving forward, we will continue to seek more partnership opportunities in the renewable energy industry to solidify our role in this burgeoning market and pave the way for long-term business growth. "
About TD Holdings, Inc.
TD Holdings, Inc. is a service provider currently engaging in the commodities trading business and supply chain service business in China. Its commodities trading business primarily involves purchasing non-ferrous metal products from upstream metal and mineral suppliers and then selling to downstream customers. Its supply chain service business primarily has served as a one-stop commodity supply chain service and digital intelligence supply chain platform integrating upstream and downstream enterprises, warehouses, logistics, information, and futures trading. For more information, please visit http://ir.tdglg.com.
Safe Harbor Statement
This press release may contain certain "forward-looking statements" relating to the business of TD Holdings, Inc. and its subsidiary companies. All statements, other than statements of historical fact included herein are "forward-looking statements." These forward-looking statements are often identified by the use of forward-looking terminology such as "believes," "expects" or similar expressions, involving known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. The following factors, among others, could cause actual results to differ materially from those described in these forward-looking statements: there is uncertainty about the spread of the COVID-19 virus and the impact it will have on the Company's operations; the demand for the Company's products and services, global supply chains and economic activity in general; the occurrence of any event, change or other circumstances; and other risks and uncertainties described herein, as well as those risks and uncertainties discussed from time to time in other reports and other public filings with the Securities and Exchange Commission by TD Holdings, Inc. Investors should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on its website at http://www.sec.gov. All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these factors. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.
For more information, please contact:
Ascent Investor Relations LLC
Ms. Tina Xiao
Email: tina.xiao@ascent-ir.com
Tel: +1 917 609 0333
