Ault Global Holdings Inc (NYSE: DPW) stock last closed at $2.97 which is a 9.17% plunge in the stock price. However, the current session showed positivity in the DPW stock price by 1.68%.
This upward movement in Ault Global Holdings Inc’s (DPW) stock price comes adjacent to the news announcement by the diversified holding company. The news states that DPW’s partner in the electronic business, Coolisys Technologies Corp. has received an offer $10.5 million purchase order.
Ault Global Holdings, Inc. expands by acquiring businesses
Ault Global Holdings, Inc. (DPW) is a diversified holding company founded in 1969. DPW expands its basis of operations by acquiring low-valued businesses and technology companies that are globally influential. Besides its strategy of expansion and acquisition, the company also works as a financial lending and aid company that extends loans to entrepreneurial businesses.
Coolisys is the DPW acquired electronic business that provides project specific products for aerospace, industrial, healthcare, government and telecommunications market clients.
Why the deal between Coolisys and iNet is significant?
The $10.5 million purchase order received by Coolisys Tech Corp. (Coolisys) is specifically for the residential EV charging systems. The definitive agreement was made with Origin Micro and its subsidiary iNetSupply.com where 30,000 7kW Electric Vehicle chargers were agreed upon. The Purchase and Resale agreement will be based on a 3 year term.
Furthermore, Coolisys has announced that it is positive about the prospects of selling accessories for the residential charging EV systems. iNet will acquire these accessories for an estimate of $1.5 million. Specifically these charging systems are able to be wall-mounted and the accessory that comes along with it is the adapter which allows the charging of Tesla vehicles as well.
iNet itself is a leader in electronic product procurement/distribution and uses efficient traditional as well as e-commerce digital platform. Thanks to its vast supply chain network, the company consists of major well-known clients like Lenovo, Dell, Cisco, and HP.
iNet plans to procure these wall-mounted residential EV chargers and make them available for preorder purchase at iNetSupply.com. Due to the company’s high well-known reputation for maintaining and delivering product integrity, it will have access to list these 7kW EV residential chargers on e-commerce platforms like Amazon.com, eBay.com and Newegg.com
This deal is timely placed in this era of increased adoption of Electric Vehicles globally. This adoption can be assessed from the increased competitiveness in EV market due to entrance of newer companies.
How is the overall outlook for DPW stock’s fundamentals?
Overall, Ault Global Holdings, Inc (DPW) has been actively strategizing its expansion and investment in subsidiaries. On 12th March, 2021 DPW announced the investment in Alzamend Neuro which was valued at $10 million. This investment was based on the Biotech Company’s recent success in FDA approvals for its neurodegenerative drug treatment. These investments by the Holding company allow for it to reap the reward of progress and development in the fundamentals of invested firms. Eventually, the success of these invested companies lead to the increase in the stock value of DPW and attracts the attention of new investors.
