Core Viewpoint - U Power Limited aims to become a smart energy grid solutions provider by leveraging its UOTTA battery-swapping technology and expanding its business through strategic partnerships and innovative solutions [1][11]. Recent Business Developments - The company reported a total revenue of $6.2 million for the full year 2024, marking a 124% increase compared to 2023, and sold 12 battery-swapping stations during the same period [2]. - U Power has established partnerships in Thailand, Portugal, Hong Kong, Peru, and Mexico to promote UOTTA battery-swapping services and is collaborating with major EV manufacturers in these regions [3]. - The company holds 46 issued patents and has 18 pending patent applications, enhancing its technological capabilities [4]. Growth Strategy for 2025 and Beyond - U Power's strategy focuses on two main pillars: leveraging existing battery-swapping technology to build a UOTTA-centered ecosystem and investing in next-generation technologies to develop comprehensive solutions for EV manufacturers and drivers [5][6]. - Plans include incorporating UOTTA into more EVs, accelerating international rollout through partnerships, and investing in technology innovation, including an AI-based data management cloud platform [8]. - The introduction of "Battery Bank" solutions and "Commercial Energy Storage" solutions aims to enhance battery lifecycle performance and support energy storage needs [9]. Company Overview - U Power Limited is a provider of electric vehicle battery-swapping solutions using its proprietary UOTTA technology, which includes manufacturing and selling various models of battery-swapping stations and providing related services [10].

Company Overview - U Power Limited is a provider of comprehensive electric vehicle (EV) battery-swapping solutions, aiming to become a smart energy grid solutions provider [6] - The company utilizes its proprietary modular battery-swapping technology, UOTTA™, to manufacture and sell various models of battery-swapping stations for EVs [6] Recent Achievements - U Power has received the Beyond Impact Award at the 5th BEYOND International Technology Innovation Expo for its advanced battery-swapping ecosystem, recognizing its contributions to the environment, society, economy, and technology [3][4] - The BEYOND Expo is Asia's largest technology gathering, featuring over 800 companies across various sectors [2] Strategic Developments - Following the successful launch of battery-swapping solutions in mainland China and Thailand, U Power plans to debut its first battery-swapping station in Hong Kong in June 2025, which will be the first full-service taxi-focused station in the region [5] - The company is pursuing a two-fold strategy of expanding its geographic footprint through joint ventures while also investing in comprehensive solutions for EV manufacturers and drivers [5] Vision and Future Plans - U Power aims to transform EVs into dynamic assets for smart energy grids by investing in next-generation technologies and building intelligent ecosystems that integrate AI-driven solutions [7]

Core Viewpoint - U Power Limited has reported significant growth in revenue and is positioning itself as a key player in the electric vehicle (EV) battery power solution market in China, with a focus on its proprietary battery-swapping technology [2][3][5]. Financial Performance - In fiscal year 2024, U Power achieved a revenue growth of 124% year-over-year, reaching RMB 44.29 million (approximately US$ 6.16 million) [2][7]. - The net profit margin improved from -248% to -130%, indicating enhanced operational efficiency and progress towards profitability [7]. - The debt-to-asset ratio decreased from 19.7% to 16.7% as of December 31, 2024, reflecting reduced reliance on external financing and strengthening the company's financial stability [7]. Strategic Partnerships and Future Outlook - The company has established strategic partnerships in multiple countries, including Thailand, Portugal, Hong Kong, Peru, and Mexico, which are expected to catalyze global EV adoption [3]. - U Power plans to accelerate the international rollout of its UOTTA™ battery-swapping platform, supported by its financial discipline and growing international footprint [3].

PART I [Key Information](index=8&type=section&id=Item%203.%20KEY%20INFORMATION) U Power Limited is a Cayman Islands holding company operating through PRC subsidiaries, exposing investors to unique regulatory risks and raising going concern doubts due to historical losses - The company is a Cayman Islands holding company operating through PRC subsidiaries, exposing investors to unique risks from Chinese regulatory authorities[31](index=31&type=chunk) - The company is not currently required to obtain approval from Chinese authorities for its U.S. listing, though future requirements could hinder its ability to remain listed[31](index=31&type=chunk)[32](index=32&type=chunk) - The company's auditor, headquartered in Singapore, has been inspected by the PCAOB, mitigating current HFCAA impact, but future obstruction risks remain[39](index=39&type=chunk)[142](index=142&type=chunk) - The company has a history of substantial net losses and negative operating cash flows, raising significant doubt about its ability to continue as a going concern, with a **net loss of RMB 56.4 million** in FY2024[150](index=150&type=chunk)[165](index=165&type=chunk) - A dual-class share structure grants Class B shares **20 votes per share**, concentrating significant control with Class B holders[267](index=267&type=chunk) [Risk Factors](index=13&type=section&id=D.%20Risk%20Factors) The company faces principal risks including regulatory uncertainty in China, intense competition, reliance on intellectual property, and challenges in its new EV battery-swapping business - Risks of doing business in China include vague and uncertain PRC laws, potential government intervention, cybersecurity regulations, and restrictions on currency conversion and fund transfers[50](index=50&type=chunk)[55](index=55&type=chunk)[58](index=58&type=chunk) - Business and industry risks include a history of substantial losses, intense competition, growth dependency on expansion management, intellectual property protection, and potential delisting if PCAOB inspections are obstructed[51](index=51&type=chunk)[150](index=150&type=chunk)[155](index=155&type=chunk) - The vehicle sourcing business relies heavily on maintaining its partner network and is sensitive to commission declines and vehicle price changes[52](index=52&type=chunk)[205](index=205&type=chunk)[212](index=212&type=chunk) - UOTTA EV and battery-swapping growth depends on consumer adoption, third-party manufacturing, UOTTA technology meeting expectations, and government incentive stability[52](index=52&type=chunk)[53](index=53&type=chunk)[217](index=217&type=chunk) - Shareholder and capital structure risks include stock price volatility, limited Class A shareholder influence due to a dual-class structure, and returns dependent on share price appreciation as no dividends are expected[54](index=54&type=chunk)[248](index=248&type=chunk)[256](index=256&type=chunk) [Information on the Company](index=60&type=section&id=Item%204.%20INFORMATION%20ON%20THE%20COMPANY) The company has strategically shifted from vehicle sourcing to its proprietary UOTTA EV battery-swapping technology, now constituting the majority of revenue, supported by partnerships and manufacturing capabilities - The company shifted focus to UOTTA EV battery-swapping technology, with the EV business generating **94.5% of total revenue** in FY2024, up from **39.2% in 2022**[290](index=290&type=chunk)[291](index=291&type=chunk)[293](index=293&type=chunk) - Cooperation agreements with major Chinese auto manufacturers, including FAW Jiefang Qingdao Automotive Co., Ltd, facilitate joint development of UOTTA-powered electric trucks[293](index=293&type=chunk)[296](index=296&type=chunk) - International expansion includes joint ventures in Thailand and Portugal to introduce UOTTA battery-swapping technology and EV solutions[279](index=279&type=chunk)[283](index=283&type=chunk) - As of the report date, the company holds **46 issued patents** and **14 pending patent applications** in China, primarily related to UOTTA technology[292](index=292&type=chunk)[340](index=340&type=chunk) Revenue Breakdown by Business Segment (2022-2024) | Business Segment | 2022 Revenue (RMB million) | 2023 Revenue (RMB million) | 2024 Revenue (RMB million) | | :--- | :--- | :--- | :--- | | Sourcing Business | 4.4 | 1.5 | 0.1 | | EV Business | 3.1 | 17.1 | 41.8 | [History and Development of the Company](index=60&type=section&id=A.%20History%20and%20Development%20of%20the%20Company) U Power Limited commenced Nasdaq trading in April 2023, conducted follow-on offerings, established a dual-class share structure, and expanded internationally through joint ventures in Thailand and Portugal - Closed its initial public offering in April 2023, raising gross proceeds of **$15.0 million**, and a follow-on offering in December 2023, raising **$12.0 million**[270](index=270&type=chunk)[271](index=271&type=chunk) - In August 2024, the company varied its share capital to create a dual-class structure, re-designating certain shares as Class B Ordinary Shares with **20 votes per share**[276](index=276&type=chunk)[280](index=280&type=chunk) - Established a joint venture in Thailand in December 2024 with Ezzy Transporter to integrate UOTTA technology into vehicles, with an initial production run of **2,000 vehicles** scheduled for 2025[279](index=279&type=chunk)[282](index=282&type=chunk) - Formed a joint venture in Portugal in December 2024 with ANTRal to establish an integrated EV ecosystem with UOTTA battery-swapping technology, with full integration scheduled for 2025[283](index=283&type=chunk)[285](index=285&type=chunk) [Business Overview](index=63&type=section&id=B.%20Business%20Overview) The company operates a legacy vehicle sourcing service and a rapidly growing EV business centered on UOTTA battery-swapping technology, leveraging R&D and manufacturing capabilities Revenue Contribution by Segment (FY2022-FY2024) | Segment | FY2022 Revenue Share | FY2023 Revenue Share | FY2024 Revenue Share | | :--- | :--- | :--- | :--- | | Sourcing Business | 56.8% | 7.7% | 0.1% | | EV Business | 39.2% | 86.3% | 94.5% | - The company operates a battery-swapping station factory in Zibo City, with a production capacity of **180 to 250 units per year**, commencing manufacturing in January 2022[293](index=293&type=chunk)[334](index=334&type=chunk) - The company launched 'Titan' and 'Chipbox' UOTTA battery-swapping stations, selling **twelve units** in Jilin City and **one** in Songyuan City in FY2024[306](index=306&type=chunk) - As of April 1, 2025, the company had **80 full-time employees**, with **25 dedicated to Research and Development**[342](index=342&type=chunk) [Operating and Financial Review and Prospects](index=90&type=section&id=Item%205.%20OPERATING%20AND%20FINANCIAL%20REVIEW%20AND%20PROSPECTS) The company's financial performance reflects a strategic shift to EV, with significant revenue growth but continued net losses and negative operating cash flows, raising going concern doubts Consolidated Results of Operations (in RMB thousands) | Metric | 2022 | 2023 | 2024 | | :--- | :--- | :--- | :--- | | **Total Revenues** | 7,796 | 19,764 | 44,290 | | **Gross Profit** | 2,659 | 12,172 | 10,463 | | **Operating Loss** | (56,249) | (36,903) | (57,989) | | **Net Loss** | (57,667) | (25,466) | (56,362) | - Revenue increased by **124.1%** in FY2024 to **RMB 44.3 million**, primarily due to increased sales of battery-swapping stations[464](index=464&type=chunk) - Net loss increased by **121.3%** in FY2024 to **RMB 56.4 million**, driven by higher costs, increased G&A expenses, and a **RMB 10.5 million** loss on impairment of long-lived assets[468](index=468&type=chunk)[470](index=470&type=chunk)[477](index=477&type=chunk) Summary of Cash Flows (in RMB thousands) | Cash Flow Activity | 2023 | 2024 | | :--- | :--- | :--- | | Net cash used in operating activities | (65,442) | (73,170) | | Net cash (used)/provided in investing activities | (84,076) | 49,093 | | Net cash provided by financing activities | 179,403 | 12,958 | - The company's financial condition raises substantial doubt about its ability to continue as a going concern, with a **net loss of RMB 56.4 million** and negative operating cash flow of **RMB 73.2 million** in FY2024[150](index=150&type=chunk)[773](index=773&type=chunk) [Directors, Senior Management and Employees](index=108&type=section&id=Item%206.%20DIRECTORS,%20SENIOR%20MANAGEMENT%20AND%20EMPLOYEES) The company is led by Chairman and CEO Jia Li, with a five-member board including three independent directors, and a dual-class share structure granting Mr. Li significant voting control - The board consists of **five directors**, including **three independent directors** (Xiaochun Li, Quanshi Chen, Jean Christophe von Pfetten), satisfying Nasdaq independence requirements[552](index=552&type=chunk) - For FY2024, aggregate cash compensation paid to executive officers and directors was approximately **RMB 1.25 million**[550](index=550&type=chunk) - Founder, Chairman, and CEO Jia Li holds **65.20%** of the aggregate voting power through Class B Ordinary Shares, each entitled to **20 votes**[573](index=573&type=chunk)[576](index=576&type=chunk) - The company has entered into employment agreements with executive officers and indemnification agreements with all directors and executive officers[559](index=559&type=chunk)[560](index=560&type=chunk) [Major Shareholders and Related Party Transactions](index=116&type=section&id=Item%207.%20MAJOR%20SHAREHOLDERS%20AND%20RELATED%20PARTY%20TRANSACTIONS) CEO Jia Li is the controlling shareholder, and the company has significant outstanding balances with related parties, including loans to and from affiliates for operational and expansion purposes - CEO Jia Li is the controlling shareholder, holding **65.20%** of the aggregate voting power[573](index=573&type=chunk) Amounts Due from Related Parties (as of Dec 31, 2024) | Related Party | Amount (RMB thousands) | Purpose | | :--- | :--- | :--- | | Shanghai Nanmu | 20,001 | Loan for software research | | Jia Li | 583 | Loan for market expansion | | Ke Li | 438 | Loan for market expansion | | Bingyi Zhao | 535 | Advance for market expansion | | Shanghai Youcang | 100 | Advance for equity transfer | Amounts Due to Related Parties (as of Dec 31, 2024) | Related Party | Amount (RMB thousands) | Purpose | | :--- | :--- | :--- | | Ke Li | 3,020 | Interest-free loan for operations | | Bingyi Zhao | 219 | Interest-free loan for operations | [Financial Information](index=118&type=section&id=Item%208.%20FINANCIAL%20INFORMATION) The company's consolidated financial statements are appended, and it plans no dividends in the foreseeable future, retaining earnings for expansion, subject to Cayman Islands and PRC regulations - The company does not plan to pay cash dividends in the foreseeable future, intending to retain earnings for business operations and expansion[583](index=583&type=chunk) - Dividend distributions are subject to restrictions under Cayman Islands law and PRC regulations, limiting payments from PRC subsidiaries to accumulated after-tax profits[582](index=582&type=chunk)[585](index=585&type=chunk) - The company relies on dividends from PRC subsidiaries, which must first set aside at least **10% of after-tax profits** into a statutory reserve fund until it reaches **50% of registered capital**[584](index=584&type=chunk)[505](index=505&type=chunk) [Additional Information](index=119&type=section&id=Item%2010.%20ADDITIONAL%20INFORMATION) This section covers the company's capital structure changes, including a share consolidation and dual-class system, and discusses tax implications for PRC subsidiaries and U.S. investors, including PFIC risk - In March 2024, the company effected a **1-for-100 share consolidation**[587](index=587&type=chunk) - In August 2024, the company created a dual-class share structure, with Class A shares having **one vote** and Class B shares having **twenty votes**[588](index=588&type=chunk)[593](index=593&type=chunk) - The company does not expect to be classified as a Passive Foreign Investment Company (PFIC) for U.S. federal income tax purposes, though the annual determination depends on income and asset composition[615](index=615&type=chunk) - Dividends paid to U.S. holders may be taxed at the lower capital gains rate for qualified dividend income, provided the company is not a PFIC and its shares are readily tradable on an established U.S. market like Nasdaq[618](index=618&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=126&type=section&id=Item%2011.%20QUANTITATIVE%20AND%20QUALITATIVE%20DISCLOSURES%20ABOUT%20MARKET%20RISK) The company's primary market risks include credit risk concentrated in Chinese financial institutions, liquidity risk managed through cash monitoring, and potential future inflation impacts - Credit risk is concentrated in cash and cash equivalents held in Chinese financial institutions and accounts receivable, managed by using high-credit-rated institutions and evaluating customer creditworthiness[627](index=627&type=chunk)[628](index=628&type=chunk) - The company actively monitors liquidity requirements to ensure sufficient cash reserves and funding lines for obligations[629](index=629&type=chunk) - Inflation in China has not materially impacted the company's results to date, with the consumer price index increasing by **0.2%** in December 2024[631](index=631&type=chunk) PART II [Material Modifications to the Rights of Security Holders and Use of Proceeds](index=128&type=section&id=Item%2014.%20MATERIAL%20MODIFICATIONS%20TO%20THE%20RIGHTS%20OF%20SECURITY%20HOLDERS%20AND%20USE%20OF%20PROCEEDS) This section details the allocation of proceeds from various capital raises, including the 2023 IPO and follow-on offerings, used for strategic services, business operations, and working capital - Net proceeds of approximately **$13.4 million** from the April 2023 IPO were allocated to service agreements with Liberty Asset Management (**$2 million**), Richness Fortune Credit (**$6 million**), and Worthy Credit (**$5 million**) for strategic, acquisition, and loan services[639](index=639&type=chunk)[640](index=640&type=chunk) - The December 2023 follow-on offering raised net proceeds of **$10.6 million**, used for business operations, funding a **$3 million** escrow account for investors, and other day-to-day operational needs[641](index=641&type=chunk)[642](index=642&type=chunk) - A registered direct offering in January 2025 raised gross proceeds of approximately **$5.0 million**, intended for working capital and general corporate purposes[644](index=644&type=chunk)[645](index=645&type=chunk) [Controls and Procedures](index=130&type=section&id=Item%2015.%20CONTROLS%20AND%20PROCEDURES) Management concluded that disclosure controls were ineffective as of December 31, 2024, due to material weaknesses in staffing and internal control framework, with remediation efforts underway - As of December 31, 2024, management concluded that the company's disclosure controls and procedures were not effective[648](index=648&type=chunk) - Material weaknesses identified include insufficient skilled staff with U.S. GAAP and SEC reporting knowledge, and a lack of formal policies for risk assessment and internal control[648](index=648&type=chunk)[650](index=650&type=chunk) - Remediation measures are underway, including enhancing staff expertise, planning to hire new finance team members, and developing a formal accounting manual[650](index=650&type=chunk) - As an emerging growth company and non-accelerated filer, the company is not required to provide an auditor attestation report on its internal control over financial reporting[651](index=651&type=chunk) [Corporate Governance and Other Matters](index=131&type=section&id=Item%2016.%20Corporate%20Governance%20and%20Other%20Matters) This section covers the audit committee financial expert, change in principal accountant, adherence to Cayman Islands home country practices as a foreign private issuer, and cybersecurity risk management - The company's audit committee financial expert is Ms. Xiaochun Li[653](index=653&type=chunk) - In May 2023, the company dismissed WWC, P.C. and appointed Onestop Assurance PAC as its new independent registered public accounting firm[659](index=659&type=chunk) - As a foreign private issuer, the company follows Cayman Islands home country practice in lieu of Nasdaq's shareholder approval requirements for certain equity issuances[662](index=662&type=chunk) - The company has established a cybersecurity risk management process and reports no material cybersecurity incidents to date[667](index=667&type=chunk) PART III [Financial Statements](index=133&type=section&id=Item%2018.%20FINANCIAL%20STATEMENTS) The consolidated financial statements, audited by Onestop Assurance PAC, show increased assets but continued net losses and accumulated deficit, raising substantial doubt about going concern - The independent auditor's report was issued by Onestop Assurance PAC[681](index=681&type=chunk)[685](index=685&type=chunk) - The company's financial condition, including a **net loss of RMB 56.4 million** and negative operating cash flows of **RMB 73.2 million** for FY2024, raises substantial doubt about its ability to continue as a going concern[773](index=773&type=chunk) - As of December 31, 2024, the company's PRC subsidiaries had restricted net assets of **RMB 818.7 million**, unavailable for distribution to the parent company[830](index=830&type=chunk) [Consolidated Balance Sheets](index=139&type=section&id=Consolidated%20Balance%20Sheets) As of December 31, 2024, total assets decreased to RMB 385.7 million, total liabilities decreased, and shareholders' equity slightly decreased, with the accumulated deficit growing to RMB 221.1 million Consolidated Balance Sheet Highlights (in RMB thousands) | Account | As of Dec 31, 2023 | As of Dec 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | 1,927 | 23,435 | | Total Current Assets | 163,197 | 105,075 | | Total Assets | 428,988 | 385,714 | | Total Current Liabilities | 74,881 | 56,897 | | Total Liabilities | 80,861 | 64,734 | | Accumulated Deficit | (173,176) | (221,098) | | Total Equity | 344,620 | 320,980 | [Consolidated Statements of Comprehensive Loss](index=141&type=section&id=Consolidated%20Statements%20of%20Comprehensive%20Loss) Total net revenues increased to RMB 44.3 million in FY2024, but net loss widened to RMB 56.4 million due to higher costs and a significant impairment loss on long-lived assets Consolidated Statement of Comprehensive Loss Highlights (in RMB thousands) | Account | 2022 | 2023 | 2024 | | :--- | :--- | :--- | :--- | | Total net revenues | 7,796 | 19,764 | 44,290 | | Gross profit | 2,659 | 12,172 | 10,463 | | Operating loss | (56,249) | (36,903) | (57,989) | | Net loss | (57,667) | (25,466) | (56,362) | | Basic and diluted loss per share (RMB) | (91.84) | (15.56) | (16.79) | [Consolidated Statements of Cash Flows](index=143&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Net cash used in operating activities increased to RMB 73.2 million in FY2024, while investing activities provided cash, and financing activities significantly decreased, resulting in an overall cash decrease Consolidated Statement of Cash Flows Highlights (in RMB thousands) | Account | 2022 | 2023 | 2024 | | :--- | :--- | :--- | :--- | | Net cash used in operating activities | (12,892) | (65,442) | (73,170) | | Net cash (used in)/ provided by investing activities | (11,387) | (84,076) | 49,093 | | Net cash provided by financing activities | 4,500 | 179,403 | 12,958 | | Net (decrease)/increase in cash | (19,779) | 29,885 | (11,119) | [Exhibits](index=133&type=section&id=Item%2019.%20EXHIBITS) This section lists all exhibits filed with the annual report, including corporate governance documents, material contracts, and certifications from executive officers and the auditor - Key exhibits include the Second Amended and Restated Memorandum of Association, outlining the company's corporate governance and share structure[672](index=672&type=chunk) - Material contracts filed as exhibits include cooperation agreements with auto manufacturers like FAW Jiefang and joint venture agreements for Thailand and Portugal[672](index=672&type=chunk)[674](index=674&type=chunk) - Certifications from the Chief Executive Officer and Chief Financial Officer pursuant to the Sarbanes-Oxley Act of 2002 are included[674](index=674&type=chunk)

Core Insights - U Power Limited's Thai subsidiary, USWAP Co., Ltd., has delivered 21 battery-swapping-enabled MG EP vehicles to Auto Drive EV Public Company Limited, marking the deployment of Southeast Asia's first fleet of battery-swapping taxis [1][2] - The vehicles utilize U Power's UOTTA fully automated battery-swapping technology, allowing for a full battery replacement in just 3 minutes, enhancing operational efficiency for taxi services [2][3] - This initiative aligns with Thailand's EV 3.5 Policy, which aims to promote EV adoption and establish a nationwide charging/swapping network by 2027 [2] Market Impact - The deployment of the battery-swapping fleet in Phuket aims to improve air quality and position the island as a leader in smart EV solutions, catering to the growing demand for efficient transportation in a major tourist destination [3][5] - U Power's expansion of its battery-swapping network across urban centers and transportation routes focuses on commercial applications, including taxis and logistics fleets, addressing energy replenishment and grid stability challenges in Thailand's rapidly growing EV market [5][6] Leadership Perspectives - U Power's CEO emphasized that this delivery represents a significant step for Southeast Asia's EV transition and aligns with Thailand's carbon neutrality goals [4] - The partnership with Sumitomo Mitsui Auto Leasing and Auto Drive is seen as a model for integrating financial innovation with sustainable development in the EV sector [4] - Auto Drive's Chairman highlighted the commitment to deploying up to 2,000 electric taxis by 2025, reinforcing the focus on reducing carbon emissions in key tourist cities [4][9]

LISBON, Portugal, April 15, 2025 /PRNewswire/ -- U POWER LIMITED, a global leader in green smart energy grid innovation, together with its ELMO joint venture partner ANTRAL, unveiled transformative plans to redefine urban mobility at ANTRAL's 50th Anniversary & XVI Taxi Day, held from April 10 to 13, 2025, at the Lisbon Congress Center. Focused on accelerating Portugal's transition to zero-emission transport, the initiative centers on deploying cutting-edge battery-swapping technology tailored for taxi flee ...

Core Insights - U Power Limited has successfully showcased its UOTTA battery swap station at the 2025 Bangkok International Motor Show, marking a significant step in its Southeast Asian expansion [1] - The company is establishing Thailand's first operational battery swap infrastructure in collaboration with SUSCO, aiming for rapid nationwide deployment [1][2] - U Power's initiative aligns with Thailand's EV 3.5 policy, which extends consumer subsidies for battery-swappable vehicles through 2027 [4] Company Overview - U Power Limited focuses on proprietary battery-swapping technology, UOTTA, designed to provide comprehensive battery power solutions for electric vehicles [5] - The company has developed a vehicle sourcing network in China's lower-tier cities and operates a manufacturing facility in Zibo City, Shandong Province, China [5] Strategic Partnerships - The partnership with SUSCO, finalized in March 2025, will co-manage the commercial launch of the battery swap station and develop standardized deployment protocols for coastal tourism markets [2][3] - U Power aims to create a collaborative ecosystem that empowers local energy partners to adopt its open-architecture platform, facilitating sustainable infrastructure expansion [3] Market Impact - The operational battery swap station in Phuket will initially service electric taxis and hailing vehicles, creating Thailand's first operational battery-swap ecosystem [3] - The initiative is positioned as a scalable model for electrification across ASEAN's tourism economies, supporting market demand and national policy frameworks [4]

Core Insights - U Power Limited has entered a joint venture with SUSCO Public Company Limited to deploy its UOTTA battery-swapping technology across SUSCO's fueling stations in Thailand, positioning itself as a first-mover in the commercial EV battery swapping market [1][2][4] Group 1: Strategic Partnership - The joint venture is a significant milestone in U Power's global expansion strategy, particularly in Southeast Asia, aligning with Thailand's ambitious EV targets [2][7] - The partnership aims to integrate battery-swapping capabilities into SUSCO's existing infrastructure to meet the growing demand for electric vehicle energy solutions [2][4] Group 2: Infrastructure Development - U Power's UOTTA battery-swapping system will be strategically positioned at SUSCO's fueling stations nationwide, providing a rapid and efficient energy solution for commercial vehicle fleets [3][10] - This infrastructure supports Thailand's goal of having 30% of new vehicle sales be electric by 2030, with plans for 12,000 charging piles and 1,450 battery-swapping stations [7] Group 3: Market Demand and Business Potential - The partnership addresses the practical challenges faced by Thailand's significant taxi and ride-hailing fleet, which exceeds 300,000 vehicles, by providing an alternative to lengthy charging times [10] - The collaboration is expected to enhance profitability and accelerate EV adoption in the region [10][11] Group 4: Investment and Growth Potential - Chatchaval Jiaravanon, a member of the controlling family of the Charoen Pokphand Group, has personally invested in the joint venture, indicating strong backing from leading Asian investors [5][6] - The partnership is anticipated to create meaningful growth opportunities within Thailand's rapidly expanding electric transportation sector [6]

Core Insights - U Power Limited has signed a cooperation agreement with SAIC Motor-CP to integrate its battery-swapping technology into the MG brand vehicles for the Thai market [1][2] - The partnership aims to develop a comprehensive network of battery-swapping stations and operating systems, initially focusing on Thailand's taxi and ride-hailing markets [2][3] - The collaboration is expected to address charging infrastructure challenges in Thailand's growing electric vehicle market, with projections indicating significant growth in EV adoption [3][4] Company Overview - U Power Limited is a vehicle sourcing services provider with a vision to become a comprehensive EV battery power solution provider, primarily focused on its proprietary UOTTA battery-swapping technology [5] - The company has established a vehicle sourcing network in China's lower-tier cities and operates a manufacturing factory in Zibo City, Shandong Province, China [5] Market Context - Thailand's taxi and ride-sharing fleet exceeds 300,000 vehicles, with projections indicating 50% electrification within five years, highlighting the potential for battery-swapping technology [4] - The partnership is positioned to capitalize on Thailand's EV3.5 policy, which is expected to drive 30-40% annual growth in electric vehicle adoption [4]

Group 1 - U Power Limited has completed a registered direct offering and concurrent private placement, raising approximately $5.0 million before fees and expenses [2][4] - The offering included 648,000 Class A ordinary shares, Pre-funded Warrants for 393,668 shares, and Common Warrants for 1,562,502 shares, all at a combined price of $4.80 per share [1][2] - The exercise price for the Pre-funded Warrants is set at $0.0001 per share, while the Common Warrants have an exercise price of $4.80 and will expire in five years [1][2] Group 2 - The existing Series A warrants, previously priced at $120.00 per share, have been amended to an exercise price of $4.80 per share [2] - Maxim Group LLC acted as the sole placement agent for the offering [3] - The securities were offered under a shelf registration statement declared effective by the SEC on November 8, 2024, and the Common Warrants were part of a private placement [4] Group 3 - U Power Limited aims to become a comprehensive EV battery power solution provider in China, focusing on its proprietary battery-swapping technology [6] - The company has established a vehicle sourcing network in lower-tier cities in China and operates a manufacturing factory in Zibo City, Shandong Province [6]