PRINT | CLOSE WINDOW

Torvec inks deal with Chinese automaker

By VELVET SPICER - 1/28/2013 3:46:15 PM

Torvec Inc. has signed an agreement with Chinese automaker BAIC Motor Co. Ltd. to manufacture prototypes of its IsoTorque differentials for future car models.

Financial details of the agreement were not disclosed but Torvec officials said the company will provide “a number” of differentials for evaluation and testing in BAIC vehicles. BAIC is to  furnish Torvec with specifications, drawings, differential housings and compensation to manufacture the IsoTorques.

“This is a great opportunity for Torvec to work with an established auto manufacture in the world’s largest automotive market,” said Keith Gleasman, Torvec’s vice president of marketing. “It is also a great opportunity for BAIC to adopt this outstanding technology.”

Torvec CEO Richard Kaplan noted the prototypes will be made at the company’s facility in Rochester, and it will not add to its staff to do so. When the testing is done it is likely Torvec will license the IsoTorque differentials to BAIC rather than produce them here, he added.

Shares of Torvec stock (OTB: TOVC) were unchanged midday Monday at 72 cents.

BAIC operates as a subsidiary of Beijing Automotive Industry Holding Co. Ltd, the fifth-largest carmaker in China in terms of sales. BAIC manufactures passenger cars and off-road vehicles for the Chinese market.

(c) 2013 Rochester Business Journal. To obtain permission to reprint this article, call 585-546-8303 or e-mail service@rbj.net.