Strategic Partnership Aims to Revolutionize
South American Ride-Hailing
SHANGHAI, Oct. 21,
2024 /PRNewswire/ -- U Power Limited (Nasdaq:
UCAR) ("U Power" or "the Company"), a vehicle sourcing services
provider with a vision to becoming a comprehensive electric EV
battery power solution provider in China, today announced the signing of a
Memorandum of Understanding with Ualabee Corp., a leading South
American mobile travel platform. The strategic partnership aims to
integrate U Power's proprietary UOTTA battery-swapping technology
into Ualabee's ride-hailing services across South America, marking a significant step in
the Company's global expansion strategy.
Ualabee, a leading South American mobility platform,
revolutionizes urban transportation through its comprehensive
app-based services. Offering a seamless blend of ride-hailing,
taxi, and shared mototaxi options, Ualabee has established itself
as a pioneer in the region's evolving transportation landscape.
With a strong focus on technological innovation, Ualabee not only
connects passengers and drivers efficiently but also drives the
industry towards greater sustainability. Ualabee's commitment to
enhancing user experience while promoting eco-friendly
transportation solutions positions it as an ideal partner for U
Power's expansion into the South American market. The collaboration
comes as the South American ride-hailing market, which is expected
to exceed $1.5 billion in size,
begins a major transition towards electric vehicles. Over the next
three years, it is anticipated that approximately 80,000-100,000
fuel-powered ride-hailing vehicles will be replaced by EVs,
including 20,000 in the Peruvian market alone.
The strategic partnership is set to revolutionize South America's ride-hailing industry by
integrating U Power's innovative UOTTA battery-swapping system and
compatible EVs into Ualabee's operations. This comprehensive
collaboration goes beyond technology provision, encompassing the
deployment of battery-swapping infrastructure, implementation of
digital payment systems, and utilization of data analytics to
optimize operations. The partnership will unfold in phases,
starting with the introduction of UOTTA technology and EVs in key
markets, and potentially progressing to local manufacturing of
battery-swapping commercial vehicles. In the first quarter of 2025,
U Power will introduce its first UOTTA battery-swapping station in
Peru, which will have the capacity
to serve 100 vehicles equipped with swappable batteries. Throughout
2025, the Company will build an additional 6-8 battery-swapping
stations in Peru, bringing the
total capacity to 800-1,000 vehicles. Meanwhile, for each of the
next five years, Ualabee intends to replace 5,000 of its
fuel-powered vehicles with electric vehicles, with an estimated 30%
of these adopting the UOTTA battery swapping model. This phased
approach underscores both companies' long-term commitment to
sustainable transportation in South
America, promising enhanced efficiency and environmental
benefits for the region's urban mobility sector.
"Our UOTTA battery swapping ecosystem integrates vehicles,
swapping stations, and spare batteries into one platform, offering
flexible solutions for diverse market needs," said Jia Li, Chairman and CEO of U Power. "This
collaboration with Ualabee in South
America validates the global scalability of our technology
and business model. It not only opens new revenue streams in a
high-growth market but also aligns with our mission to accelerate
sustainable mobility worldwide."
"The partnership leverages our mature technology and Ualabee's
strong market presence to create powerful synergies. Our 'Battery
Bank' financial model addresses key concerns about EV adoption,
reducing both procurement and operating costs. This open ecosystem
approach has already attracted interest from various stakeholders
across the EV value chain."
"As we expand into South
America, we're demonstrating the adaptability of our
solution to diverse global contexts. This success will undoubtedly
strengthen our position in the global EV revolution and pave the
way for similar collaborations in other emerging markets,
ultimately delivering greater value to our shareholders and
partners."
About U Power Limited
U Power Limited is a vehicle sourcing services provider, with a
vision to becoming an EV market player primarily focused on its
proprietary battery-swapping technology, or UOTTA technology, which
is an intelligent modular battery-swapping technology designed to
provide a comprehensive battery power solution for EVs. Since its
operation in 2013, the Company has established a vehicle sourcing
network in China's lower-tier
cities. The Company has developed two types of battery-swapping
stations for compatible EVs and is operating one manufacturing
factory in Zibo City, Shandong
Province, China. For more
information, please visit the Company's website:
http://ir.upincar.com/.
Safe Harbor Statements
This press release may contain "forward-looking statements".
Forward-looking statements reflect our current view about future
events. These forward-looking statements involve known and unknown
risks and uncertainties and are based on the Company's current
expectations and projections about future events that the Company
believes may affect its financial condition, results of operations,
business strategy and financial needs. Investors can identify these
forward-looking statements by words or phrases such as "may,"
"will," "could," "expect," "anticipate," "aim," "estimate,"
"intend," "plan," "believe," "is/are likely to," "propose,"
"potential," "continue" or similar expressions. The Company
undertakes no obligation to update or revise publicly any
forward-looking statements to reflect subsequent occurring events
or circumstances, or changes in its expectations, except as may be
required by law. Although the Company believes that the
expectations expressed in these forward-looking statements are
reasonable, it cannot assure you that such expectations will turn
out to be correct, and the Company cautions investors that actual
results may differ materially from the anticipated results and
encourages investors to review other factors that may affect its
future results in the Company's registration statement and other
filings with the U.S. Securities and Exchange Commission.
Contacts
U Power Limited
Investor Relations Department
Email: ir@upincar.com
Robin Yang, Partner
ICR, LLC
Email: UPower.IR@icrinc.com
Phone: +1 (212) 475-0415
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SOURCE U Power Limited