Tractor maker Daedong looking to acquire LFP battery packaging firm

Tractor maker Daedong was looking to acquire a lithium iron phosphate (LFP) battery packaging firm to expand into the smart mobility sector, TheElec has learned.

After reviewing potential candidates, the company is looking into a firm that has an AI-based battery protection technology, sources said.

This firm has over ten years of experience in LFP battery packaging and had previously supplied Daedong with LFP batteries for golf carts, they said.

Other companies besides Daedong had also offered to purchase the firm but is has refused as it believes it fits best with Daedong, they added.

Daedong formed its subsidiary Daedong Mobility last year and is looking to expand into e-bikes, small electric vehicles and electric trucks.

Daedong was founded in 1947 and began manufacturing agricultural machines, and its main product is tractors.

The firm in recent years had been attempting to diversify its revenue stream and is aiming to build a mobility factory at Daegu city in South Korea within the year that will manufacture golf carts, e-bikes and other mobility products.

Daedong is expected to record 1.35 trillion won in revenue and 58.2 billion won in operating income this year, according to analysts’ forecast.