(Yicai) Oct. 22 -- Shares of Kedali Industry advanced after the Chinese maker of precision structural parts for power batteries said it plans to invest up to CNY600 million (USD84.5 million) to build a factory in Malaysia.

Kedali [SHE: 002850] was trading up 3.3 percent at CNY99.52 (USD13.97) as of lunch break in Shenzhen today.

Kedali will establish a company in Kedah responsible for the investment and construction of a lithium battery precision structural parts plant in the Southeast Asian country, the Shenzhen-based company announced yesterday. The project is still pending regulatory approval from China, Malaysia, and Singapore.

The factory is expected to be completed and put into operation in 36 months and have an annual output value of CNY1.3 trillion (USD183 million) once the designated production capacity is reached, Kedali noted, without revealing any further details.

Kedali has been actively expanding overseas in recent years. It has already put into operation plants in Germany, Hungary, and Sweden. Moreover, it announced in September last year that it would hike the capacity of its German plant.

In May, the company said it would invest USD49 million to build a factory to produce precision structural components for power and energy storage batteries in Indiana in the United States.

Chinese battery giant Contemporary Amperex Technology is among Kedali’s main domestic customers. Tesla, Panasonic, Northvolt, Automotive Cells, LG, and Samsung are some of the company’s renowned overseas clients.

Editor: Futura Costaglione