8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of Earliest event Reported): November 20, 2008 (November 19, 2008)  

WONDER AUTO TECHNOLOGY, INC.

(Exact name of registrant as specified in its charter)

Nevada	001-33648	88-0495105
(State or other jurisdiction of incorporation or organization)	(Commission File Number)	(IRS Employer Identification No.)

No. 16 Yulu Street

Taihe District, Jinzhou City, Liaoning

People’s Republic of China, 121013

(Address of principal executive offices)

(+86) 416-2661186

(Registrant's telephone number, including area code)

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions ( see General Instruction A.2. below):

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

ITEM 1.01. ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT.

On November 19, 2008, Wonder Auto Technology, Inc. (the “Company”)’s wholly owned subsidiary Wonder Auto Limited, a British Virgin Islands corporation (the “Subsidiary”), entered into an assignment agreement (the “Assignment Agreement”) with Golden Stone Capital Limited, a British Virgin Islands corporation (“Golden Stone”), Money Victory Limited, a British Virgin Islands corporation (“Money Victory”) and Lin Tan (“Ms. Tan”), the majority owner of Money Victory pursuant to which the Subsidiary has agreed to assign to Gold Stone all the rights, obligations and duties of the Subsidiary under that certain stock purchase agreement (the “Stock Purchase Agreement”), dated April 9, 2008, by and among the Subsidiary, Money Victory and Ms. Tan, as if Golden Stone had entered into the Stock Purchase Agreement directly with Money Victory and Ms. Tan. Under the Stock Purchase Agreement, the Subsidiary acquired a 22.49% ownership interest in Money Victory from Ms. Tan for a total cash consideration of U.S. $5,000,000. Pursuant to the Assignment Agreement, Golden Stone has assumed all of the Subsidiary’s rights, obligations and duties under the Stock Purchase Agreement with a cash purchase price of $5,900,000 (the “Purchase Price”). Golden Stone has the obligations to pay the Purchase Price in full within 110 business days after the execution of the Assignment Agreement. The Subsidiary shall transfer its shares of Money Victory to Golden Stone within 30 business days after its receipt of the Purchase Price.

The description of the Assignment Agreement in this current report is a summary only and is qualified in its entirety by the terms of the Assignment Agreement, which is attached hereto as exhibit 10.1 and is hereby incorporated by reference.

ITEM 8.01. OTHER EVENTS

On November 20, 2008, the Company issued a press release announcing that the Subsidiary has entered into the Assignment Agreement. A copy of the press release is attached to this report as Exhibit 99.1.

ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS

(d)	Exhibits.
Number	Description
10.1	English translation of Assignment Agreement, by and among Wonder Auto Limited, Golden Stone Capital Limited, Money Victory Limited and Lin Tan, dated November 19, 2008.
99.1	Press Release of Wonder Auto Technology, Inc., dated November 20, 2008.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

WONDER AUTO TECHNOLOGY, INC.
By:	/s/ Qingjie Zhao
	Qingjie Zhao
	President and Chief Executive Officer

Dated: November 20, 2008

EXHIBIT INDEX

Number	Description
10.1	English translation of Assignment Agreement, by and among Wonder Auto Limited, Golden Stone Capital Limited, Money Victory Limited and Lin Tan, dated November 19, 2008.
99.1	Press Release of Wonder Auto Technology, Inc., dated November 20, 2008.

EX-99.1

Exhibit 99.1

Wonder Auto Technology Announces Assignment of Its $5 Million Investment

in Money Victory Limited

Ensuring Continuous Growth Momentum of the Company’s Core Business

BEIJING, Nov. 20 /PRNewswire-FirstCall/ -- Wonder Auto Technology, Inc. (Nasdaq: WATG; “Wonder Auto” or “the Company”) announced today that it has signed an assignment agreement with Golden Stone Capital Limited (“Golden Stone”) under which it has transferred the $5 million short-term investment, or 22.49% ownership, in Money Victory Limited. The consideration for such assignment is $5.95 million, representing a 19% return over a 7-month period.

Mr. Qingjie Zhao, Chairman and CEO of Wonder Auto stated, “Although we are very satisfied with the initial investment decision, in consideration of the current global financial turbulence, we believe it is in our company’s best interest to focus on the development of our core business and continuous growth momentum in the coming years.”

About Wonder Auto

Based in Jinzhou City, Liaoning, China, Wonder Auto Technology, Inc., through its Chinese subsidiaries, designs, develops, manufactures and sells automotive electrics, suspension products and engine accessories. Wonder Auto was ranked second in sales revenue in the China market for automotive alternators and starters in 2007. With respective 5 different series and over 150 models of alternators, 70 models of starters, various suspension, engine related parts, the Company supplies to a wide range of automakers, engine producers and auto parts suppliers both domestically and internationally. Wonder Auto’s main customers include Beijing Hyundai Motor Company, Shenyang Aerospace Mitsubishi Motors Engine Manufacturing Co., Ltd., Harbin Dongan Automotive Engine Manufacturing Co., Ltd., Tianjin FAW Xiali Automotive Co., Ltd, Shanghai VW and Weifang Diesel Engine. For more information, please log on http://www.watg.cn .

Safe Harbor Statement

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, among others, all assumptions, expectations, predictions, intentions or beliefs about future events. You are cautioned that any such forward- looking statements are not guarantees of future performance and that a number of risks and uncertainties could cause actual results of the Company to differ materially from those anticipated, expressed or implied in the forward-looking statements. The words “believe,” “expect,” “anticipate,” “project,” “targets,” “optimistic,” “intend,” “aim,” “will” or similar expressions are intended to identify forward-looking statements. All statements other than statements of historical fact are statements that could be deemed forward- looking statements. Risks and uncertainties that could cause actual results to differ materially from those anticipated include risks related to new and existing products, product defects and any related product recall; any projections of sales, earnings, revenue, margins or other financial items; any statements of the plans, strategies and objectives of management for future operations; any statements regarding future economic conditions or performance; uncertainties related to conducting business in China; any statements of belief or intention; any of the factors and risks mentioned in the “Risk Factors” section of our Annual Report on Form 10-K for the year ended December 31, 2007 and any subsequent SEC filings. The Company assumes no obligation and does not intend to update any forward-looking statements, except as required by law.

For further information, please contact:

Lydia Zhao

Assistant CFO

Wonder Auto Technology, Inc.

Tel: +86-10-8478-5339

Cell: +86-130-2118-4792

Email: lydiaz@watg.cn

Yechon Xie

Investor Relations Manager

Wonder Auto Technology, Inc.

Tel: +86-416-266-1186

Cell: +86-137-0006-1685

Email: ycxie@watg.cn