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A123Systems Files S-1 for IPO

A123Systems, Inc., the developer and manufacturer of Nanophosphate lithium-ion phosphate batteries, has filed its S-1 registration statement with the Securities and Exchange Commission (SEC) relating to the proposed initial public offering of its common stock.

The joint book-running managers of the proposed offering will be Morgan Stanley & Co. Incorporated and Goldman Sachs & Co. Merrill Lynch, Pierce, Fenner & Smith Incorporated will serve as co-lead manager, and Broadpoint Capital, Inc. and Lazard Capital Markets LLC will serve as co-managers.

A123Systems is targeting three primary markets with its Li-ion technology: transportation, electric grid services (EGS), and portable power.

On the light-duty transportation front, in addition to its work with GM and a supply agreement with Think Global to provide battery systems for the TH!NK city EV, the company has development work underway with a number of other partners. Partners named in the S-1 include:

  • MAGNA STEYR Fahrzeugtechnik AG & Co. KG;
  • Delphi Corporation; and
  • Better PLC, LLC, or Better Place.

In the heavy-duty vehicle market, the company supplies battery systems to BAE.

Current A123Systems Batteries
ProductANR26650 APR18650 AHR32113 AHR32157 Prismatic
Nominal Capacity 2.3 Ah 1.1 Ah 3.6 Ah 7.7 Ah 9.5 Ah Customizable
Watt hours 7.6 Wh 3.6 Wh 11.9 Wh 25.4 Wh 31.4 Wh 13.2 to 60.7 Wh
Power to energy ratio High Medium Ultra high High Medium Medium
Production Status Volume Volume Pilot. Prototype Prototype Prototype
Applications Portable power, hybrid transit buses, aviation jet engine start, EVs, EGS Consumer, prof. portable power applications HEVs, hybrid transit buses, heavy-duty HEVs PHEVs, heavy duty EVs EREVs, PHEVs, heavy duty EVs EREVs, PHEVs, EVs



Have all of the IP issues been settled?


I'm relatively new to investing, anyone know how I can get in on this IPO? I hear you have to know somebody or get an invite.


IPOs are usually handed out to a broker's very best customers as a reward for all the losses they have had to suffer due to broker ignorance. That being said, the usual pattern is for a new issue to rise rapidly for the first couple of days and then settle back down, often to 50% the speculation. In this case A123, a major player in Li batteries for automotive and small industry (tools) - will be hotly pursued. They claim to be working with some 68 different hybrid vehicle programs scheduled for introduction by 2010. That could mean a lot of wampum.

You might look into tangential investment in materials with companies already on the market and not subjected to as much speculation. Li miners is the obvious one. But power electronics is equally important in electrification and there are many contracts due for those components.

Good luck.

Sergey Artjomov

This kind of investment would really be wise.
The best time to enter is a key to make profit from this company.

Of course, the long term outcome of this IPO is unpredictable.


I think A123 should consider a reverse merger with mPhase Technologies as a less-expensive route to public listing.

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