2013年3月7日星期四
For large contracts related to the conversion to LED lighting
Also within months of securing the exclusive North American distribution agreement with Lightsky, ForceField announced that four trials in separate industries (hospital, fleet management, gaming and auto tire service) were arranged to evaluate the efficacy of converting to LED lighting for the purpose of evaluating broader deployment of LED lighting products. The interest level and progress achieved by ForceField in a relatively short period of time exceeded management's expectations.In addition, ForceField is pursuing specific opportunities for large contracts related to the conversion to LED lighting, specifically a multi-million dollar bid to retrofit streetlights in Costa Rica. ForceField is actively pursuing distributing prospects not only in its exclusive Lightsky territories of the U.S., Canada and Mexico, but also in Latin America, the Caribbean and France where the company has received approval to sell Lightsky LED products.
With majority ownership positions in two Chinese companies (90% the Zibo Baokai trichlorosilane distribution company and 60% of the Wendeng trichlorosilane production facility), ForceField is positioned to benefit from a recovery of the solar-grade polysilicon market. Spot prices for polysilicon have been steadily increasing since December 2012. Baokai and Wendeng are low-cost producers in China and should be able to take advantage of the Chinese government's $454 billion commitment to renewable energy projects in China's five-year plan.Utilizing our benchmark valuation methodology, we expect ForceField's stock to trade in the middle of the top quartile of our estimated valuation range of 1.1 and 3.2 times normalized sales, which projects at price target of $6.60.
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