April 9, 2012 – Global shipbuilder Hyundai Heavy Industries (HHI) and Magna E-Car Systems, a supplier of components and systems for hybrid and electric vehicles, are forming a joint venture named Mahy E-Cell as a platform to co-develop a battery cell and battery pack business.

“We are pleased to move forward together as partners with HHI to advance next-generation cell and battery pack technology to support the growth of the electric and hybrid electric vehicle markets,” said Frank Stronach, founder and chair of Magna E-Car.

Under the agreement, HHI and Magna E-Car will jointly conduct engineering, design, development and testing activities with the goal of preliminary validation of battery cell and battery pack technologies for electric and hybrid electric vehicle applications. The joint venture will be owned 60% by Magna E-Car and 40% by HHI.

“The establishment of Mahy E-Cell is a reflection of Hyundai Heavy’s determination to become a leading eco-friendly integrated energy company by advancing into Europe and North America’s electric car batteries market and ESS business,” said Mr. Lee Choong-dong, COO of HHI’s Green Energy Division. “We see solar energy, wind power and energy storage systems as integral to our future growth.”

HHI says it expects the establishment of Mahy E-CELL to serve as a stepping stone to enter the energy storage system business and plans to link its solar and wind power business with ESS as a new growth engine.