U Power Limited Announces Closing of $6.0 Million Public Offering

Rhea-AI Summary

U Power (Nasdaq: UCAR) closed an underwritten public offering on March 20, 2026, selling 13,360,000 Units at $0.449 per Unit for gross proceeds of approximately $6.0 million.

Each Unit included one Class A ordinary share and one warrant; warrants are exercisable immediately at $0.449 and include adjustment mechanics and a zero-exercise-price option that can double share issuance. The underwriter partially exercised its option for 1,890,000 warrants.

AI-generated analysis. Not financial advice.

Positive

• Gross proceeds of $6.0 million raised
• 13,360,000 Units sold at $0.449 per Unit
• Underwriter partially exercised over-allotment for 1,890,000 warrants

Negative

• Immediate warrant exercisability with zero-exercise-price option may double issued shares and dilute holders
• Remaining over-allotment of up to 2,004,000 shares/warrants could still increase dilution

News Market Reaction – UCAR

+4.15%

17 alerts

+4.15% News Effect

+22.4% Peak Tracked

-11.2% Trough Tracked

+$32K Valuation Impact

$811,843 Market Cap

0.1x Rel. Volume

On the day this news was published, UCAR gained 4.15%, reflecting a moderate positive market reaction. Argus tracked a peak move of +22.4% during that session. Argus tracked a trough of -11.2% from its starting point during tracking. Our momentum scanner triggered 17 alerts that day, indicating notable trading interest and price volatility. This price movement added approximately $32K to the company's valuation, bringing the market cap to $811,843 at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Units Offered: 13,360,000 Units Unit Price: $0.449 per Unit Gross Proceeds: $6.0 million +5 more

8 metrics

Units Offered 13,360,000 Units Size of underwritten public offering

Unit Price $0.449 per Unit Public offering price for each Unit

Gross Proceeds $6.0 million Gross proceeds before expenses, excluding warrant exercise

Underwriter Option Period 45 days Duration of over-allotment option for extra shares/warrants

Over-Allotment Capacity 2,004,000 shares and/or Warrants Maximum additional securities underwriter may purchase

Warrants Exercised from Option 1,890,000 Warrants Portion of underwriter option exercised on March 20, 2026

Warrant Exercise Price US$0.449 per share Initial exercise price for each Class A Warrant

Warrant Term 1 year Expiration timeline from date of issuance

Market Reality Check

Price: $1.3600 Vol: Volume 57,949,566 is abou...

high vol

$1.3600 Last Close

Volume Volume 57,949,566 is about 4.02x the 20-day average of 14,415,831, indicating elevated trading around the offering. high

Technical Shares at $0.1568 are trading well below the $2.12 200-day moving average, reflecting a deeply broken longer-term trend.

Peers on Argus

UCAR showed a sharp decline while only one peer, AZI, appeared in momentum scans...

1 Up

UCAR showed a sharp decline while only one peer, AZI, appeared in momentum scans, moving up ~14.25% without same-day news, suggesting UCAR’s move is stock-specific rather than sector-driven.

Previous Offering Reports

3 past events · Latest: Mar 19 (Negative)

Same Type Pattern 3 events

Date	Event	Sentiment	Move	Catalyst
Mar 19	Equity offering pricing	Negative	-65.1%	Priced 13,360,000-unit public offering with warrants at $0.449 per Unit.
Jul 24	Registered direct deal	Negative	-23.1%	Announced $1.4M registered direct offering with matching five-year warrants.
Jan 24	Registered direct deal	Negative	-30.4%	Priced $5.0M direct offering and amended prior high-strike Series A warrants.

Pattern Detected

Offering-related headlines have consistently coincided with sharp negative moves, averaging about -39.54% on the same tag.

Recent Company History

Over the past year, U Power has repeatedly tapped the market via equity offerings, with deals of $5.0M, $1.4M, and now $6.0M, typically paired with warrants. These financing events have been followed by sizeable drawdowns of -30.43%, -23.1%, and -65.08%. Today’s closing announcement follows yesterday’s pricing of 13,360,000 Units, reinforcing a pattern where capital raises with warrant structures have weighed heavily on the stock after otherwise positive operational and AI-related updates.

Historical Comparison

-39.5% avg move · Past offering headlines for UCAR averaged moves of about -39.54%, with each financing-linked announc...

offering

-39.5%

Average Historical Move offering

Past offering headlines for UCAR averaged moves of about -39.54%, with each financing-linked announcement triggering a sizeable downside reaction.

Financings progressed from a $5.0M registered direct in Jan 2025 to a $1.4M deal in Jul 2025 and now a $6.0M underwritten Unit offering with short-dated, resettable warrants.

Market Pulse Summary

This announcement confirms the closing of U Power’s $6.0M underwritten Unit offering at $0.449 per U...

Analysis

This announcement confirms the closing of U Power’s $6.0M underwritten Unit offering at $0.449 per Unit, each including a share and a one-year Warrant with reset and zero-exercise features. Historically, offering-tag headlines for UCAR have averaged moves of about -39.54%, indicating dilution has been a key market concern. Investors may focus on how these new securities, together with prior registered direct deals, shape future capital structure, cash usage, and the need for additional financings.

Key Terms

underwritten public offering, warrant, zero exercise price option, registration statement on Form F-1, +1 more

5 terms

underwritten public offering financial

"announced the closing of its underwritten public offering of 13,360,000 Units"

An underwritten public offering is when a company sells new shares of its stock to the public with the help of a financial firm, called an underwriter. The underwriter agrees to buy all the shares upfront, reducing the company's risk, and then sells them to investors. This process helps companies raise money quickly and confidently from a wide range of buyers.

warrant financial

"and one Class A warrant (each, a "Warrant," and collectively, the "Warrants")"

A warrant is a time-limited financial contract that gives its holder the right to buy a company's shares at a set price before a specified date, like a coupon that lets you purchase stock at a fixed discount for a limited time. It matters to investors because warrants offer leveraged exposure to a stock’s upside and can dilute existing shareholders if exercised, so they affect potential gains and the company’s outstanding share count.

zero exercise price option financial

"be exercised in whole or in part by means of a zero exercise price option"

A zero exercise price option is a stock option that lets the holder convert the option into shares without paying any cash upfront because the strike price is set at zero. For investors, these awards act like immediate share grants: they increase the company’s outstanding shares (dilution), are treated as employee compensation for accounting and tax purposes, and signal how management is being paid, which can affect future earnings and shareholder value.

registration statement on Form F-1 regulatory

"offered pursuant to a registration statement on Form F-1 (File No. 333-294161)"

A registration statement on Form F-1 is a legal document companies file with regulators to offer their shares to investors in a foreign country or market. It provides essential information about the company's business, finances, and risks, helping investors make informed decisions about whether to buy its stock. This process ensures transparency and protects investors by making company details publicly available before trading begins.

prospectus regulatory

"The Offering was made only by means of a prospectus which forms a part"

A prospectus is a detailed document that explains a company's plans for offering new shares or investments to the public. It’s important because it provides potential investors with key information about the company’s business, risks, and how they might make money, helping them decide whether to invest. Think of it as a guidebook for understanding what you're buying into.

AI-generated analysis. Not financial advice.

SHANGHAI, March 20, 2026 /PRNewswire/ -- U Power Limited (Nasdaq: UCAR) (the "Company" or "U Power"), a provider of AI-integrated solutions for next-generation energy grids and intelligent transportation systems, today announced the closing of its underwritten public offering of 13,360,000 Units, on a firm commitment basis, at a price to the public of $0.449 per Unit (the "Offering").

Each Unit consists of one Class A ordinary share, par value $0.00001 per share (each, a "Class A Ordinary Share," and collectively, the "Class A Ordinary Shares"), and one Class A warrant (each, a "Warrant," and collectively, the "Warrants"). Each Warrant expires one year from the date of issuance, and is exercisable immediately on the date of issuance at the initial exercise price of US$0.449 per share, subject to adjustment on the 2nd and 5th trading days following the closing of this Offering to the price that is equal to 70% and 50%, respectively, of the initial exercise price of the Warrants, and the number of Class A Ordinary Shares underlying the Warrants will be proportionately increased. The Warrants may, at any time following the closing of the Offering and in the holders' sole discretion, be exercised in whole or in part by means of a zero exercise price option, in which the holders will receive twice the number of Class A Ordinary Shares that would be issuable upon a cash exercise of the Warrant, without payment of additional consideration.

The Company has granted the underwriter a 45-day option to purchase up to an additional 2,004,000 Class A Ordinary Shares and/or additional 2,004,000 Warrants, or any combination thereof, as determined by the underwriter, at its respective public offering price less underwriting discounts and commissions. On March 20, 2026, the underwriter partially exercised such option with respect to 1,890,000 Warrants.

The gross proceeds from the Offering, before deducting underwriting discounts and other offering expenses, and excluding any proceeds from exercise of the Warrants, were $6.0 million.

Maxim Group LLC acted as the exclusive underwriter for the Offering. Hunter Taubman Fischer & Li LLC served as U.S. securities counsel to the Company and Ellenoff Grossman & Schole LLP served as U.S. securities counsel to the underwriter.

The securities described above were offered pursuant to a registration statement on Form F-1 (File No. 333-294161) initially publicly filed with the U.S. Securities and Exchange Commission (the "SEC") on March 10, 2026, under the Securities Act of 1933, as amended (the "Registration Statement"), which was declared effective by the SEC on March 18, 2026. The Offering was made only by means of a prospectus which forms a part of the effective registration statement. A preliminary prospectus relating to the Offering has been filed with the SEC, and a final prospectus relating to the Offering was filed with the SEC on March 20, 2026. Electronic copies of the preliminary prospectus and final prospectus may be obtained on the SEC's website at www.sec.gov and may also be obtained by contacting Maxim Group LLC at 300 Park Avenue, 16th Floor, New York, NY 10022, Attention: Prospectus Department, or by telephone at (212) 895-3745 or by email at syndicate@maximgrp.com.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein, nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.

About U Power Limited

U Power is a provider of comprehensive AI-integrated energy solutions that connect electric vehicles (EVs) with advanced energy infrastructure, optimizing both mobility and grid performance. Originally a distributor of various battery-swapping station models built on its proprietary modular battery-swapping technology UOTTA™, U Power has evolved into a provider of AI-integrated solutions for energy grids and transportation systems.

Through investments in next-generation technologies, U Power is building intelligent ecosystems that integrate resilient AI-driven solutions able to transform EVs into dynamic energy assets. By incorporating AI algorithms, U Power's comprehensive solutions for smart energy grids are designed to support autonomous EV driving, optimize energy replenishment efficiency, and seamlessly connect EV assets with advanced AI-powered transportation systems, enabling peak and off-peak energy load balancing.

For more information, please visit the Company's website: https://www.upower-limited.com/.

Safe Harbor Statements

This press release contains "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 statements and other filings with the U.S. Securities and Exchange Commission. For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. References and links (including QR codes) to websites have been provided as a convenience, and the information contained on such websites is not incorporated by reference into this press release.

Contact

U Power Limited 
Investor Relations Department
ir@upincar.com

The Equity Group
Lena Cati, Senior Vice President
212-836-9611 / lcati@theequitygroup.com

Alice Zhang, Associate
212-836-9610 / azhang@theequitygroup.com

View original content:https://www.prnewswire.com/news-releases/u-power-limited-announces-closing-of-6-0-million-public-offering-302720075.html

SOURCE U Power Limited

FAQ

What did U Power (UCAR) announce on March 20, 2026 about its public offering?

U Power closed an underwritten offering of 13,360,000 Units at $0.449 each, raising about $6.0 million. According to the company, each Unit included one Class A ordinary share and one warrant exercisable immediately.

How do the warrants issued in U Power's (UCAR) offering work and when can they be exercised?

The warrants are exercisable immediately at an initial price of $0.449, with scheduled price adjustments and proportional share increases. According to the company, holders may use a zero exercise price option to receive twice the cash-exercise share amount.

Did the underwriter use its over-allotment option in the UCAR offering and by how much?

The underwriter partially exercised its 45-day option, purchasing 1,890,000 warrants. According to the company, the full option allowed up to 2,004,000 additional shares and/or warrants.

What are the immediate shareholder impacts from U Power's (UCAR) March 20, 2026 offering?

Immediate impacts include $6.0M cash inflow and potential share dilution from exercisable warrants. According to the company, warrant terms and any remaining overallotment could further increase outstanding shares.

Where can investors find the registration and prospectus for U Power's (UCAR) offering?

Electronic copies of the preliminary and final prospectus are available on the SEC website and from Maxim Group. According to the company, the offering was made under an effective Form F-1 (File No. 333-294161).