Superconductor Technologies (Nasdaq: SCON) this morning announced a joint venture with Hunchun BaoLi Communication (BAOLI). The two companies will work together in the development and manufacture of SCONs SuperLink interference elimination solution.
Following the announcement, SCON trading skyrocketed. There was pre-market movement and by 8:50 a.m. CDT the company had volume of 1.9 million with a 76 percent jump. Shares went from Friday’s close at $3.33 per share to $5.91 per share this morning. The heavy trading shows market excitement over the new partnering.
Within the joint venture, SCON will provide the technology of its SuperLink solution, while BAOLI will head the manufacture and distribution of the product. Both companies are leaders in their industries within the Chinese market. The joint venture plans to be finalized by the end of 2007.
“BAOLI is a well recognized and successful wireless communications solutions provider in China. BAOLI’s reputation, market presence and manufacturing capabilities make it an excellent potential partner to help SCON build meaningful distribution in Asia. We will provide additional information on our progress as appropriate.” SCON’s President and CEO Jeff Quiram recently commented.
SCON is a leading provider of high performance infrastructure products for wireless voice and data applications. The SuperLink solution increases capacity utilization, lowers dropped and blocked calls, extends coverage and enables faster wireless data rates.
