U Power Signs LOI To Supply 300 Battery-Swapping EVs In Hong Kong, Launching Token-Based Incentive Program

U Power Limited (NASDAQ:UCAR) (the "Company" or "U Power"), a provider of AI-powered solutions for next-generation energy grids and intelligent transportation systems, building on its proprietary UOTTA™ electric vehicle (EV) battery-swapping technology, today announced the signing of a Letter of Intent (the "LOI") with a Hong Kong-based designer and manufacturer of vehicle dashcams (the "client') to deploy battery-swapping compatible vehicles in the market.

As per the terms of the LOI, the client will purchase 300 MGEP swappable-battery compatible EVs. The client has already submitted the initial deposit, and the fulfillment of the order is currently subject to further negotiations and the execution of a definitive sales agreement.

Once the agreement is finalized and orders are delivered, these vehicles will be deployed into commercial operation. Participating drivers will utilize U Power's recently inaugurated first smart battery-swapping station in Hong Kong to efficiently swap batteries. Each battery swap will earn drivers tokens, which can then be redeemed and traded for electricity tariff credits, creating a new incentive structure and promoting sustainable usage.