U Power Limited Receives Nasdaq Delisting Notification and Intends to Appeal

SHANGHAI, Feb. 20, 2024 /PRNewswire/ -- U Power Limited (Nasdaq: UCAR) (the "Company" or "U Power"), a vehicle sourcing services provider with a vision to becoming a comprehensive EV battery power solution provider in China, today announced that on February 14, 2024, it received a notification letter (the "Letter") from the Listing Qualifications department of the Nasdaq Stock Market LLC ("Nasdaq") notifying the Company of Nasdaq's determination to delist the Company's ordinary shares from The Nasdaq Capital Market because the Company's ordinary shares had a closing bid price of $0.10 or less for ten consecutive trading days as of February 13, 2024, which triggered a notice of delisting pursuant to Nasdaq Listing Rule 5810(c)(3)(A)(iii) (the "Low Priced Stocks Rule").

In addition to the Low Priced Stocks Rule delisting notice, the Company also currently fails to satisfy the requirement that the closing bid price of its ordinary shares remain at $1.00 or higher, as required by Nasdaq Listing Rule 5550(a)(2) (the "Minimum Bid Price Rule"), and had received a notice from Nasdaq in that regard on January 19, 2024.

Pursuant to the Letter, unless the Company requests an appeal of this determination, trading of the Company's common stock will be suspended at the opening of business on February 23, 2024, and a Form 25-NSE will be filed with the U.S. Securities and Exchange Commission (the "SEC"), which will remove the Company's ordinary shares from listing and registration on the Nasdaq Stock Market.

The Company plans to appeal Nasdaq's determination to a Hearings Panel (the "Panel") on February 21, 2024. A hearing request will stay the suspension of the Company's ordinary shares and the filing of the Form 25-NSE pending the Panel's decision.

The Company intends to monitor the closing bid price of its ordinary shares and may, if appropriate, consider implementing available options, including a reverse share split, to regain compliance with the Nasdaq Listing Rules for continued listing on Nasdaq.

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/.

Forward-Looking 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 statement and other filings with the SEC.

Contact

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