Liquidmetal Technologies forms Hangzhou JV to build 71,000 sq ft amorphous alloy plant, leveraging China’s manufacturing ecosystem for mid-2026 launch.
Key Transaction Details
✅ Joint Venture Structure:
- 70% ownership by Liquidmetal Asia Holdings
- 30% stake by individual investor
- $6M initial capital commitment
✅ Manufacturing Facility:
- 71,000 sq ft in Hangzhou’s tech corridor
- 40 die-cast machine capacity
- Mid-2026 operational target
✅ Financial Context:
- $134M market cap (OTCQB:LQMT)
- 170% stock surge (12-month performance)
- 48% revenue growth (LTM)
- Negative EBITDA ($3.16M LTM)
Strategic Rationale & Market Opportunity
Amorphous Alloy Technology Edge
✔ Precision: Micron-level injection molding capability
✔ Material Properties:
- 2X stronger than titanium
- Superior corrosion resistance
- High elasticity
Hangzhou Location Advantages
- Proximity to Foxconn/Alibaba ecosystems
- Access to Zhejiang University materials research
- Existing supply chain infrastructure
Leadership Commentary
Tony Chung, CEO:
“This state-of-the-art facility will leverage China’s advanced manufacturing ecosystem to scale our bulk metallic glass production.”
Professor Lugee Li, Chairman:
Will personally oversee plant development
Financial Health Indicators
| Metric | Value | Implication |
|---|---|---|
| Current Ratio | 10.27 | Strong liquidity |
| Cash vs Debt Position | Positive | Low leverage risk |
| InvestingPro Fair Value | Below current price | Potential overvaluation |
Implementation Timeline
- 2024 Q3-Q4: Facility construction begins
- 2025: Equipment installation
- 2026 H1: Production commencement
Investor Note:
8-K filing confirms transaction details
Technology Applications:
Medical devices, consumer electronics, aerospace components
Sources: SEC Filing, Company Release, InvestingPro Data
Announced July 2024