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SPARQ Enters into Manufacturing Memorandum of Understanding with Ti-Lane Precision Electronic Company
Toronto, Ontario--(Newsfile Corp. - March 24, 2022) - SPARQ Corp. (TSXV: SPRQ) (formerly ...
About this update from Sparq Systems Inc
[{"type":"text","content":"SPARQ Enters into Manufacturing Memorandum of Understanding with Ti-Lane Precision Electronic CompanyToronto, Ontario--(Newsfile Corp. - March 24, 2022) - SPARQ Corp. (TSXV: SPRQ) (formerly MJ Innovation Capital Corp.) (the \"Company\") is pleased to announce that its wholly-owned subsidiary, SPARQ Systems Inc. (\"SPARQ\"), has entered into a memorandum of understanding dated March 23, 2022 (the \"MOU\"), with Ti-Lane Precision Electronic Company Limited (\"Ti-Lane\") for the high-volume manufacturing of inverters. Ti-Lane is a global leader in providing connector and cable assembly products for communications, computer, medical, automotive and clean energy applications.The terms of the MOU contemplate that Ti-Lane will construct, at its own cost, a manufacturing facility in GuangDong Province, China. The facility is expected to be completed by July 2022, and producing for the Company 5,000 to 10,000 units per month on a cost-effective basis by Q4 2022. The facility's initial capacity is expected to be 200 MW per annum with expansion potential to 1 GW as demand grows.The additional capacity to be provided by Ti-Lane is expected to be a critical supplement to the Company's existing manufacturing capacity in Canada, which has been impacted by an acute chip shortage. As the Company's current manufacturing partner in Canada will not be able to produce inverters for the Company in sufficient quantities for this fiscal year, the Company does not foresee the generation of any material revenue until 2023. Praveen Jain, the Company's Chief Executive Officer, commented, \"The partnership with Ti-Lane is key to significantly increase our manufacturing capacity and we look forward to enjoying a long-lasting relationship together. As a major supplier of balance-of-system photovoltaic (\"PV\") components and strong supply chain management, Ti-Lane will manage the entire supply-chain for products manufactured for us, which will help us overcoming current challenges of semiconductor chips shortage.\"Robbie Luo, the President of Ti-Lane and a director of the Company, commented, \"We are excited to strengthen our alliance with the SPARQ team and grow our collective businesses. We strongly believe in SPARQ's technology and ability to become a major player in the PV solar renewable energy market.\" The MOU contemplates that the parties shall n...