ALYI Announces M&A Pipeline For $365 Billion Electric Vehicle Market

Dallas, Tx – March 22, 2019 – Alternet Systems, Inc. (USOTC: ALYI) (“ALYI”) announced today releasing details on its merger and acquisition pipeline (M&A) intended to expand its electric vehicle (EV) production capacity and advance its technology innovation. Last month, the company announced specific plans to pursue the acquisition of a shuttered electric car manufacturing plant.  Subsequently, the company announced the shuttered car plant acquisition was part of a larger overall M&A initiative.  Below and on the company’s website are the details driving ALYI’s overall M&A strategy to include specifics on the company’s current M&A pipeline.

ALYI M&A Overview

electric-vehicle-sales-1.jpg

The future magnitude of the electric vehicle (EV) market is certain.  EV transportation will be the predominant mode of transportation in the future.  Market Research Future (MRFR) forecasts that the EV market will reach a USD 356.5 billion valuation by 2023, increasing from a USD 106.5 Billion valuation calculated in 2016. The details of how the EV market grows from where it is today to becoming the predominant mode of transportation worldwide is less certain.  ALYI is implementing a plan designed to accommodate and capitalize on the uncertainty. 

The technology that powers future EV’s is likely not yet invented or discovered.  Lithium batteries are the predominant energy storage solution today, but the scarcity of lithium and the volatility of lithium batteries make it an unlikely long-term solution.  The lithium energy storage dominance is likely to pass and a large infrastructure investment in a lithium energy storage solution today could turn into a boat anchor tomorrow.  In fact, battery technology in general is likely to be surpassed by the evolution of supercapacitors making battery investment today a high-risk prospect.  Going even one step further, EV design so far has simply mirrored combustion engine vehicle design only replacing the combustion engine with an electric motor.  What likely makes more sense, is a smaller electric motor for every wheel synchronized by software.

How does one build a mass EV production capability today using the technology available today and maintain the flexibility to deliver the EV product tomorrow using the technology yet to be discovered?  The short answer is probably that a mass production capacity is premature and likely to not be sustainable.  Not naming any names here, but I think you can guess at an endeavor that meets the definition of a premature mass production attempt that will likely not sustain in the long-term.

crashed-model-s.jpg

Here at ALYI we believe the strategy is to coordinate existing technologies into just-in-time production scenarios for specific orders.  In other words, we will continue to design EV products such as our ReVolt Electric Motorcycle and coordinate production capacity, but not pull the trigger until we have orders.  We don’t believe the market is mature enough to justify building inventory.  The inventory could be outdated overnight. 

Revolt News April 19.jpg

ALYI M&A To Diversify Product Line

We do believe the market is ready for a diverse line of EV products and we intend to diversify beyond our existing electric motorcycle product.  A great deal of investment has gone into EV’s market wide and many such investments have failed to make it to revenue production and are now otherwise dormant.  At ALYI, we see a tremendous opportunity to purchase such dormant investments at a discount of the original investment.  In this manner, we can mitigate the risk of the technology becoming outdated before we can generate revenue.  We have a current pipeline of dormant EV production assets that are in various stages of acquisition vetting and negotiation.

China represents the leading market today for EVs.  As such, China is likely to also lead the EV technology revolution.  Accordingly, our pipeline of potential acquisitions includes assets in China.

ALYI M&A To Drive Innovation

Hera at ALYI, we believe the core of any sustainable EV strategy will be driven by technology innovation.  Hence, we have initiated our hemp energy storage initiative investing in the likelihood that neither lithium nor batteries will represent the future of energy storage in the EV sector. We are similarly exploring other technologies that will provide ALYI both short-term and long-term differentiation in the evolution of the EV market.  We are certain that a merger and acquisition strategy will serve ALYI well in its objective of leading with technology innovation.

Now that we have outlined our strategy for using mergers and acquisitions to reach our EV diversification objectives and technology innovation goals, shareholders can look forward to soon hearing about specific merger and acquisition opportunities.  Stay tuned.

About ALYI

ALYI is focused on offering varied, environmentally sustainable, energy storage solutions for targeted markets, including consumer electric vehicles and military applications. The first product category is lithium battery-powered motorcycles, to be followed by motorbikes. ALYI has recently announced $2 million in orders of its Revolt Electric Motorcycles. ALYI also recently launched a hemp energy storage initiative.

Research Report Speculative Buy Rating And $0.09 Target PPS

Goldman Small Cap Research recently issued a research report update on the Company. The report confirms a 'speculative-buy' rating with a target price-per-share of $0.09. The report provides an in-depth overview and analysis of Alternet's new strategy, new orders, and upcoming milestones. To view the report, along with disclosures and disclaimers, visit https://www.alternetsystemsinc.com/research-update or http://www.GoldmanResearch.com.


Disclaimer/Safe Harbor: This news release contains forward-looking statements within the meaning of the Securities Litigation Reform Act. The statements reflect the Company's current views with respect to future events that involve risks and uncertainties. Among others, these risks include the expectation that any of the companies mentioned herein will achieve significant sales, the failure to meet schedule or performance requirements of the companies' contracts, the companies' liquidity position, the companies' ability to obtain new contracts, the emergence of competitors with greater financial resources and the impact of competitive pricing. In the light of these uncertainties, the forward-looking events referred to in this release might not occur.

For more information, please visit: http://www.alternetsystemsinc.com
Alternet Systems, Inc. Contact:
Randell Torno
info@lithiumip.com
+1-800-713-0297