JINHUA, China, Jan. 22, 2019 (GLOBE NEWSWIRE) — Kandi Technologies Group, Inc. (the “Company,” “we” or “Kandi”) (NASDAQ GS: KNDI), announced today that Kandi Electric Vehicles Co., Ltd. (the “JV Company”, an equally held joint venture by Kandi Vehicles and Geely Group, Ltd.) led the efforts in organizing a five-year online ride-sharing service alliance in Hangzhou on January 13, 2019 (the “Online Ride-sharing Service Alliance”). The Online Ride-sharing Alliance was initiated by Zhejiang Ruibo New Energy Vehicle Service Company Ltd. (“Zhejiang Ruibo”). Its goal is to provide 300,000 government-accredited vehicles within five years. Participating companies from more than ten cities including Beijing, Tianjin, Shenzhen, Chengdu, Suzhou, Guangzhou, and Xiamen jointly signed the alliance agreement. On January 18, 2019, the JV Company signed a Framework Agreement with Zhejiang Ruibo to provide 300,000 government-accredited vehicles for the ride-sharing service within five years as the primary vehicle supplier.
Mr. Hu Xiaoming, Chairman of Kandi Electric Vehicle Group, commented, “The time-sharing micro public transportation (MPT) project innovated by Kandi in 2013 was a big hit nationwide. However, because of the surge in internet users and the increasing popularity of ride-sharing services, time-sharing micro public transportation services have been gradually evolving and upgrading to compete with newer online ride-sharing services. Currently, there are more than 3 million vehicles operated for online ride-sharing services, 90% of which are not government-accredited. According to the Chinese government’s related regulations, drivers of online ride-sharing services and their vehicles must have two government-approved documents — an online ride-sharing driver’s license and a reserved transport permit. Presently, the vast majority of vehicles used for online ride-sharing are privately owned by drivers as their own personal assets. If the privately-owned vehicles are to be converted into reserved passenger vehicles, the insurance for one vehicle would increase by more than RMB 10,000 (approximately USD 1470). Additionally, the vehicles must be totaled after a designated period of use, which means that the used vehicles then become less valuable. Therefore, most household vehicle owners are reluctant to convert privately owned vehicles into operating vehicles for online ride-sharing services, resulting in over 90% of vehicles in operation not being government-accredited.”
“The related state department is aiming to impose restrictions on car-sharing operations to legalize and standardize the industry. We believe that 2019 will be the perfect time to rectify the use of non-government-accredited ride-sharing vehicles, as well as to mark the entry point for pure electric vehicles being officially introduced to the ride-sharing market. Given Kandi’s specialty in producing quick-change batteries for pure electric vehicles, getting into the online ride-sharing market would have inherent advantages for the Company. To seize the opportunity of the fast-growing online ride-sharing market, we believe our involvement in organizing the online ride-sharing alliance over five-year arrangement to provide 300,000 government-accredited vehicles is a meaningful milestone,” concluded Mr. Hu.
About Kandi Technologies Group, Inc.
Kandi Technologies Group, Inc. (KNDI), headquartered in Jinhua Economic Development Zone, Zhejiang Province, is engaged in the research, development, manufacturing, and sales of various vehicular products. Kandi conducts its primary business operations through its wholly-owned subsidiary, Zhejiang Kandi Vehicles Co., Ltd. (“Kandi Vehicles”), SC Autosports, LLC, the wholly-owned subsidiary of Kandi Vehicles, and Kandi Electric Vehicles Group Co., Ltd. (the “JV Company”). Kandi Vehicles has established itself as one of China’s leading manufacturers of pure electric vehicle parts and off-road vehicles.
In 2013, Kandi Vehicles and Geely Group, China’s leading automaker, jointly invested in the establishment of the JV Company in order to develop, manufacture and sell pure electric vehicle (“EV”) products. As of 2018, each party has invested RMB 1.045 billion in the JV Company, for a total investment of RMB 2.09 billion with each party holding a 50% stake in the JV Company. The JV Company has established itself as one of the driving forces in the development and the manufacturing of pure EV products in China.
More information about KNDI is available on the Company’s corporate website at http://www.kandivehicle.com. The Company routinely posts important information on its website.
Safe Harbor Statement
This press release contains certain statements that may include “forward-looking statements.” All statements other than statements of historical fact included herein are “forward-looking statements.” These forward-looking statements are often identified by the use of forward-looking terminology such as “believes,” “expects” or similar expressions, involving known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company’s actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including the risk factors discussed in the Company’s periodic reports that are filed with the Securities and Exchange Commission and available on the SEC’s website (http://www.sec.gov). All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these risk factors. Other than as required under the applicable securities laws, the Company does not assume a duty to update these forward-looking statements.
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Company Contact:
Ms. Kewa Luo
Kandi Technologies Group, Inc.
Phone: 1-212-551-3610
Email: IR@kandigroup.com