Big move! Putailai invests over 2 billion yuan in overseas project

Putailai (603659) Expands Overseas Presence.

On the evening of March 11, Putailai announced plans to build a 50,000-ton annual lithium-ion battery anode material project in Malaysia, with a total investment of $297 million (approximately 2.051 billion RMB).

According to the announcement, Putailai will increase capital or provide loans to its wholly-owned subsidiary, Zichen Malaysia Limited, to implement the project. The funding will come from the company’s own resources. The project will be located in Gurun Industrial Park, Kedah State, Malaysia, with a construction period of 24 months.

From Putailai’s perspective, the project is both necessary and feasible. Since 2025, the global new energy battery market has been growing rapidly, with battery manufacturers increasing their overseas presence, especially in Southeast Asia. The demand for supporting lithium battery materials has risen accordingly. The company stated that once the Malaysia project is completed, it will further optimize its international production capacity layout, enable nearby delivery to overseas customer factories, reduce logistics costs, and strengthen customer loyalty. Meanwhile, leveraging Malaysia’s geographical advantages and tariff agreements, the project can serve Southeast Asia and other overseas markets, further enhancing the company’s global supply chain capabilities.

Currently, the preliminary feasibility study and related due diligence for this investment have been completed. A framework investment agreement has been signed with relevant project parties. Future steps include approval and registration with domestic development and commerce authorities. The project will be implemented gradually based on government approvals and construction plans.

The Securities Times·e Company reporter noted that this is not Putailai’s first overseas expansion. In 2023, the company announced plans to invest in a 100,000-ton integrated lithium-ion anode material production base in Sweden. However, due to disagreements over requirements from the Swedish Strategic Product Supervision Bureau—such as control over Swedish subsidiary equity, management structure, R&D ownership, and regulatory arrangements—the investment plan was terminated in December 2024.

Market expectations have been set for this Malaysia project. In its 2025 annual report released on March 5, the company stated it would explore capacity expansion for anode materials in Malaysia to meet the diversified supply needs of overseas customers.

Putailai mainly engages in R&D, production, and sales of new energy battery materials and automation equipment. Its core products include membrane materials, coating processing, anode materials, PVDF, binders, alumina, and bauxite.

As a leading manufacturer of anode materials, Putailai has established a complete technical system from raw material selection, pelletization, carbonization, to graphitization, accumulating extensive experience in large-scale production and cost control. By the end of 2025, the company’s annual anode capacity will reach 250,000 tons, with an expected shipment of 143,000 tons of anode materials in 2025, up 8.1% year-over-year.

Benefiting from growing downstream demand and industry inventory reduction, Putailai’s 2025 performance surged, with revenue reaching 15.711 billion RMB, up 16.83%, and net profit of 2.359 billion RMB, an increase of 98.14% year-over-year.

Since 2026, Putailai has been active in capital operations. In January 2026, the company announced plans for offshore share issuance (H-shares) and applied for listing on the Main Board of the Hong Kong Stock Exchange. In early March, it announced that its controlling subsidiary, Jiangsu Jiatou New Energy Intelligent Equipment Co., Ltd., planned to publicly issue shares to qualified investors and list on the Beijing Stock Exchange.

(Source: Securities Times)