ETI Tech hoping to increase sales in Malaysia
Tuesday, 10 October 2006 08:00
Battery management systems designer and producer ETI Tech Corp Bhd is looking forward to increasing its presence locally in the near future.
It hopes to achieve better growth with the introduction of its new fuel cell product which will deliver batteries that offer power in an environmentally friendly and cost-efficient manner
"We are looking to tap into the telecommunications sector using this product, and hope to market it to the base stations around the country," executive director Mansor Padzin said.
He was speaking to reporters after a signing ceremony between the Mesdaq-listed ETI Tech and its new German partner P21 GmbH, a Munich-based developer and manufacturer of efficient fuel cell powered Uninterrupted Power Supply (UPS) systems.
Through the agreement, ETI Tech and P21 will collaborate in developing and marketing customised fuel cell powered UPS systems, which are said to revolutionise applications of existing conventional high powered backup systems.
Mansor also expects this application to replace existing power backup systems, especially for base stations. P21 will bank on its technology, while ETI Tech will rely on its forte in backup management systems.
With that, the potential to capture the market is a large one.
ETI Tech managing director KK Lee said that the Malaysian market for replacement fuel cells in base stations alone was worth between RM1.2bil to RM1.5bil.
Currently, there are 15,000 base stations in Malaysia, while another 4,000 to 5,000 are expected to be set up in the next few years.
Chairman Datuk Ch'ng Kong San said demand would be driven by market forces and the first fuel cell product will be ready for delivery in six months.
On P21's part, it hopes to tap into the lucrative Asia Pacific market to sell its fuel cells.
With 40% of the world's base stations located in Asia Pacific itself "we hope to expand our presence in this region via Malaysia, as Malaysia is centrally positioned in the region," chief executive officer of P21 Dieter Braechtken said.
P21 also has similar partnerships with other companies in Europe, Africa and the Middle East. The joint agreement will also result in the setting up of a system integration facility in Malaysia to produce P21 products for local and export markets around the region.
Lee said that its Kulim facility, with 41,000 square feet, has sufficient space to house such a facility.
On the recent active trading of its shares on Bursa Malaysia, Ch'ng Kong San said that the movement of shares was likely due to market demand.
He also denied any knowledge of any speculation on the company's counter. Chairman of the Malaysian Communications and Multimedia Commission Datuk Dr Halim Shafie witnessed the signing ceremony.« Back to News